1st Nov 2007 11:00
AstraZeneca PLC01 November 2007 Consolidated Income Statement 2007 2006 For the nine months ended 30 September $m $m Sales 21,389 19,321 Cost of sales (4,598) (3,981) Distribution costs (181) (165) Research and development (3,730) (2,778) Selling, general and administrative costs (7,309) (6,585) Other operating income and expense 594 401 Operating profit 6,165 6,213 Finance income 703 621 Finance expense (722) (394) Profit before tax 6,146 6,440 Taxation (1,794) (1,822) Profit for the period 4,352 4,618 Attributable to: Equity holders of the Company 4,329 4,611 Minority interests 23 7 4,352 4,618 Basic earnings per $0.25 Ordinary Share $2.88 $2.93 Diluted earnings per $0.25 Ordinary Share $2.87 $2.92 Weighted average number of Ordinary Shares in issue (millions) 1,505 1,572 Diluted average number of Ordinary Shares in issue (millions) 1,510 1,578 Dividends declared in the period 2,658 2,217 Consolidated Income Statement 2007 2006 For the quarter ended 30 September $m $m Sales 7,150 6,516 Cost of sales (1,444) (1,339) Distribution costs (59) (53) Research and development (1,335) (962) Selling, general and administrative costs (2,487) (2,180) Other operating income and expense 197 124 Operating profit 2,022 2,106 Finance income 217 221 Finance expense (351) (140) Profit before tax 1,888 2,187 Taxation (537) (595) Profit for the period 1,351 1,592 Attributable to: Equity holders of the Company 1,343 1,587 Minority interests 8 5 1,351 1,592 Basic earnings per $0.25 Ordinary Share $0.91 $1.01 Diluted earnings per $0.25 Ordinary Share $0.90 $1.01 Weighted average number of Ordinary Shares in issue (millions) 1,486 1,562 Diluted average number of Ordinary Shares in issue (millions) 1,489 1,569 Consolidated Balance Sheet As at 30 As at 31 As at 30 September December September 2007 2006 2006 $m $m $mASSETS Non-current assets Property, plant and equipment 8,316 7,453 7,297Intangible assets, including goodwill 21,395 4,204 4,710Other investments 217 119 137Deferred tax assets 1,331 1,220 1,545 31,259 12,996 13,689 Current assets Inventories 2,558 2,250 2,209Trade and other receivables 6,492 5,561 5,404Other investments 102 657 413Income tax receivable 2,111 1,365 651Cash and cash equivalents 3,428 7,103 5,756 14,691 16,936 14,433Total assets 45,950 29,932 28,122 LIABILITIES Current liabilities Short-term borrowings and overdrafts (5,403) (136) (113)Trade and other payables (6,732) (6,334) (5,780)Income tax payable (3,393) (2,977) (2,195) (15,528) (9,447) (8,088)Non-current liabilities Interest bearing loans (8,994) (1,087) (1,089)Deferred tax liabilities (4,224) (1,559) (1,772)Retirement benefit obligations (1,630) (1,842) (1,752)Provisions (606) (327) (329) Other payables (226) (254) (309) (15,680) (5,069) (5,251)Total liabilities (31,208) (14,516) (13,339)Net assets 14,742 15,416 14,783 EQUITY Capital and reserves attributable to equity holders ofthe Company Share capital 369 383 388 Share premium account 1,832 1,671 1,620 Other reserves 1,903 1,902 1,856 Retained earnings 10,510 11,348 10,819 14,614 15,304 14,683 Minority equity interests 128 112 100 Total equity 14,742 15,416 14,783 Consolidated Cash Flow Statement 2007 2006For the nine months ended 30 September $m $m Cash flows from operating activities Profit before taxation 6,146 6,440Finance income and expense 19 (227)Depreciation, amortisation and impairment 1,304 917Increase in working capital (1,049) (164)Other non-cash movements 679 241Cash generated from operations 7,099 7,207 Interest paid (250) (35) Tax paid (2,337) (1,639) Net cash inflow from operating activities 4,512 5,533 Cash flows from investing activities Acquisition of businesses* (14,814) (1,170)Movement in short term investments and fixed deposits* 875 1,353Purchase of property, plant and equipment (754) (565)Disposal of property, plant and equipment 39 20Purchase of intangible assets (454) (489)Purchase of non-current asset investments (22) (15)Disposal of non-current asset investments* 384 54Interest received 295 259Dividends paid by subsidiaries to minority interest (9) (4)Net cash outflow from investing activities (14,460) (557)Net cash (outflow)/inflow before financing activities* (9,948) 4,976Cash flows from financing activities Proceeds from issue of share capital 162 934Repurchase of shares (3,294) (2,958)Dividends paid (2,641) (2,220)Repayment of loans (1,165) -Issue of loans 7,895 -Movement in short term borrowings 5,297 36Net cash inflow/(outflow) from financing activities 6,254 (4,208)Net (decrease)/increase in cash and cash equivalents in the period (3,694) 768 Cash and cash equivalents at the beginning of the period 6,989 4,895Exchange rate effects 50 22Cash and cash equivalents at the end of the period 3,345 5,685Cash and cash equivalents consists of:Cash and cash equivalents 3,428 5,756Overdrafts (83) (71) 3,345 5,685 Note: Free Cash Flow (*) of $3,607 million (2006: $4,793 million) is calculatedas; net cash (outflow)/inflow before financing activities, adjusted for:acquisition of businesses, movements in short term investments and fixeddeposits, and disposal of MedImmune non-current asset investments (2007: $384million, 2006: $nil). Consolidated Statement of Recognised Income and Expense For the nine months ended 30 September 2007 2006 $m $m Profit for the period 4,352 4,618 Foreign exchange adjustments on consolidation 420 565 Available for sale losses taken to equity (15) (11) Actuarial gains/(losses) for the period 336 (13) Tax on items taken directly to reserves (79) 95 662 636 Total recognised income and expense for the period 5,014 5,254 Attributable to: Equity holders of the Company 4,998 5,248 Minority interests 16 6 5,014 5,254 Notes to the Interim Financial Statements 1 BASIS OF PREPARATION AND ACCOUNTING POLICIES The unaudited financial statements for the nine months ended 30 September 2007have been prepared in accordance with International Accounting Standards andInternational Financial Reporting Standards (collectively "IFRS") as adopted bythe European Union (EU). Details of the accounting policies applied are thoseset out in AstraZeneca PLC's Annual Report and Form 20-F Information 2006.These condensed consolidated interim financial statements have been prepared inaccordance with International Financial Reporting Standard (IFRS) IAS 34 -Interim Financial Reporting. They do not include all of the informationrequired for full annual financial statements, and should be read in conjunctionwith the consolidated financial statements of the Group as at and for the yearended 31 December 2006. The information contained in Note 5 updates the disclosures concerning legalproceedings and contingent liabilities in the Company's Annual Report and Form20-F Information 2006. These interim financial statements do not constitute statutory accounts of theGroup within the meaning of Section 240 of the Companies Act 1985. Statutoryaccounts for the year ended 31 December 2006 have been filed with the Registrarof Companies. The auditors' report on those accounts was unqualified and didnot contain any statement under Section 237 of the Companies Act 1985. 2 NET DEBT The table below provides an analysis of net debt and a reconciliation of netcash flow to the movement in net debt. At 1 Jan Cash Non-cash Exchange At 30 Sept 2007 flow Acquisitions movements movements 2007 $m $m $m $m $m $m Loans due after 1 year (1,087) (7,895) - (7) (5) (8,994) Current instalments of - 1,165 (1,165) - - -loansTotal loans (1,087) (6,730) (1,165) (7) (5) (8,994)Other investments - 657 (875) 279 38 3 102currentCash and cash equivalents 7,103 (3,726) - - 51 3,428Overdrafts (114) 32 - - (1) (83)Short term borrowings (22) (5,297) - - (1) (5,320) 7,624 (9,866) 279 38 52 (1,873)Net funds/(debt) 6,537 (16,596) (886) 31 47 (10,867) Non-cash movements in the period include fair value adjustments under IAS 39. 3 MEDIMMUNE, INC. ACQUISITION On 1 June 2007, AstraZeneca announced the successful tender offer for all theoutstanding shares of common stock of MedImmune, Inc., a world-leadingbiotechnology company with proven biologics discovery and development strength,pipeline and leading biomanufacturing. At that date, approximately 96.0% of theoutstanding shares were successfully tendered; the remaining shares wereacquired by 18 June 2007. The financial results of MedImmune, Inc. have beenconsolidated into the Company's results from 1 June 2007. Cash consideration of $13.9 billion was paid for the outstanding shares. Aftertaking account of the cash and investments acquired, together with thesettlement of MedImmune's convertible debt and outstanding share options, thetotal cash to be paid to acquire MedImmune is $15.6 billion. In most business acquisitions, there is a part of the cost that is not capableof being attributed in accounting terms to identifiable assets and liabilitiesacquired and is therefore recognised as goodwill. In the case of theacquisition of MedImmune, this goodwill is underpinned by a number of elements,which individually cannot be quantified. Most significant amongst these is thepremium attributable to a pre-existing, well positioned business in theinnovation intensive, high growth biologics market with a highly skilledworkforce and established reputation. Other important elements include buyerspecific synergies, potential additional indications for identified products andthe core technological capabilities and knowledge base of the company. MedImmune, Inc. contributed $165 million (Q3: $141 million) of turnover in theperiod since acquisition. After amortisation, net investments/interest costs(including interest costs of external financing of $243 million (Q3: $191million) and tax), the loss attributable to the MedImmune acquisition was $355million (Q3: $264 million). If the acquisition had taken effect at the beginningof the reporting period (1 January 2007), on a proforma basis the revenue,profit before tax and profit after tax of the combined Group for the nine monthperiod would have been $21,957 million, $5,739 million and $4,076 million,respectively. Basic and diluted Earnings per Share for the combined Group wouldhave been $2.69 and $2.68, respectively. This proforma information has beenprepared taking into account amortisation, interest costs and related taxeffects but does not purport to represent the results of the combined Group thatactually would have occurred had the acquisition taken place on 1 January 2007and should not be taken to be representative of future results. Fair value Book value adjustment Fair value $m $m $mNon-current assets Intangible assets 193 8,136 8,329Property, plant and equipment 523 70 593Other 550 (17) 533 1,266 8,189 9,455Current assets 1,439 115 1,554 Current liabilities (326) 39 (287)Additional obligations related toconvertible debt and share options - (1,724) (1,724)Non-current liabilities Interest bearing loans and borrowings (1,165) - (1,165)Other payables (73) - (73)Deferred tax assets/(liabilities) 314 (2,787) (2,473) (924) (2,787) (3,711)Total assets acquired 1,455 3,832 5,287 Goodwill 8,596Total consideration for outstanding shares* 13,883Additional payments related to convertibledebt, share options and other acquisition 1,770obligationsLess: amounts paid after 30 September 2007 (10)Less: cash acquired (979)Net cash outflow 14,664 * The total consideration for outstanding shares includes $29m ofdirectly attributable costs. 4 RESTRUCTURING COSTS Profit before tax for the nine months ended 30 September 2007 is stated aftercharging restructuring costs of $604 million ($146 million in the thirdquarter). These have been charged to the income statement as follows: 3rd Quarter 9 Months $m $mCost of Sales 39 320R&D 8 37SG&A 99 247Total 146 604 5 LEGAL PROCEEDINGS and contingent liabilities AstraZeneca is involved in various legal proceedings considered typical to itsbusiness, including litigation relating to employment matters, productliability, commercial disputes, infringement of intellectual property rights andthe validity of certain patents. The matters discussed below constitute themore significant developments since publication of the disclosures concerninglegal proceedings in the Company's Annual Report and Form 20-F Information 2006and Half Year Results 2007. AtacandTM Plus (candesartan cilexetil and hydrochlorothiazide) The EPO Opposition Division has ruled that the European patent covering acomposition of AtacandTM Plus for treatment of hypertension is to be upheld asgranted. The decision was communicated in September 2007. The decision may beappealed within two months from the decision. The patent also covers use of a composition of AtacandTM Plus (candesartancilexetil and hydrochlorothiazide) for treatment of hypertension in Austria,Belgium, Denmark, France, Germany, Greece, Ireland, Italy, Liechtenstein,Luxembourg, Portugal, Spain, Sweden, Switzerland, the Netherlands and the UK.This patent expires in September 2016. CrestorTM (rosuvastatin) On 30 October 2007, AstraZeneca received a notice-letter from CobaltPharmaceuticals, Inc. (Cobalt) notifying AstraZeneca Pharmaceuticals LP,AstraZeneca AB, IPR Pharmaceuticals Inc., and Shionogi Seiyaku Kabushiki Kaishathat Cobalt had submitted an Abbreviated New Drug Application (ANDA) to the USFood and Drug Administration for approval to market generic rosuvastatin calciumtablets. Cobalt's notice-letter advised that it intended to market genericversions of CrestorTM tablets in 5, 10, 20, and 40mg strengths before theexpiration of US Patent Nos. RE37,314E (the '314 patent) and 6,316,460B1 (the '460 patent). Cobalt's notice-letter states that its ANDA contained a ParagraphIV certification alleging that the claims of the '314 and '460 patents are notinfringed, invalid or unenforceable. Cobalt's notice-letter also states that itsANDA contains a certification under section 505(j)(2)(A)(viii) of the FDCAalleging that its labelling will not include medical uses claimed in US Patent6,858,618 (the '618 patent). The '314 patent expires in January 2016, the '460 patent expires in August 2020,and the '618 patent expires in December 2021. AstraZeneca is evaluating Cobalt's allegations and certifications. AstraZenecahas full confidence in its intellectual property portfolio protecting CrestorTM. AstraZeneca has 45 days within which to commence a patent infringement lawsuitagainst the filer of an ANDA that would automatically stay, or bar, the FDA fromapproving the ANDA for 30 months (or until an adverse court decision, whichevermay occur earlier). LosecTM/ PrilosecTM (omeprazole) In September 2007, as part of a settlement, the LosecTM proceedings in Canadainvolving Sandoz were discontinued by AstraZeneca and Sandoz withdrew itsallegation of invalidity with respect to the relevant LosecTM patents. As aresult of the discontinuance, Sandoz was able to obtain marketing approval forits generic version of LosecTM and it is now marketing and selling its productin Canada. In April 2006, AstraZeneca received a notice from Dexcel Pharma Technologies(Dexcel) that Dexcel had submitted a New Drug Application seeking FDA approvalto market a 20mg omeprazole tablet for the over-the-counter (OTC) market. Dexcelseeks approval to market a generic omeprazole OTC product before the expirationof the patents listed in the FDA Orange Book in reference to AstraZeneca'sPrilosecTM product and the PrilosecTM OTC product that is marketed by Procter &Gamble. In May 2006, AstraZeneca filed suit in the US District Courts for theDistrict of Delaware and the Eastern District of Virginia charging Dexcel withinfringement of the three patents. In September 2007, the parties entered intoa settlement agreement, and the cases have been dismissed. Terms of settlementare confidential and are not material to AstraZeneca. In June 2007, AstraZeneca received a notice from Dr. Reddy's Laboratories, Ltd.and from Dr. Reddy's Laboratories, Inc. (Dr. Reddy's) that Dr. Reddy's hadsubmitted an ANDA seeking FDA approval to market a 20mg delayed releaseomeprazole magnesium capsule for the OTC market. Dr. Reddy's seeks approval tomarket a generic omeprazole OTC product before the expiration of the patentslisted in the FDA Orange Book in reference to the PrilosecTM OTC product that ismarketed by Procter & Gamble. In July 2007, AstraZeneca and Merck commencedpatent infringement litigation in the US District Court for the SouthernDistrict of New York against Dr. Reddy's in response to Dr. Reddy's paragraph IVcertifications regarding PrilosecTM OTC. No trial date has been set. NexiumTM (esomeprazole magnesium) In September 2007, the US Court of Appeals for the Third Circuit denied theplaintiffs' motion to rehear the decision affirming the dismissal of thepreviously disclosed NexiumTM consumer litigation filed in Delaware federalcourt. The plaintiffs are expected to file a petition for certiorari to the USSupreme Court. In June 2007, Florida's appellate court affirmed the dismissal of the previouslydisclosed NexiumTM consumer litigation pending in Florida. The plaintiff hasfiled a petition in the Florida Supreme Court for discretionary review. In July and September 2007, AstraZeneca received notices from MatrixLaboratories, Inc. (Matrix) that Matrix had submitted ANDAs to the US FDA foresomeprazole magnesium delayed release capsules, 20 and 40mg. Matrix wasseeking FDA approval to market a generic esomeprazole magnesium product prior tothe expiration of some but not all of the patents listed in the FDA Orange Bookwith reference to NexiumTM. Matrix's notice did not challenge three OrangeBook-listed patents claiming esomeprazole magnesium. AstraZeneca's exclusivityrelating to these three patents extends to August 2015 and November 2014. SinceAstraZeneca has not received notice from Matrix as to these three US patents,Matrix cannot market generic esomeprazole magnesium until the end of theexclusivity afforded by these patents. AstraZeneca is evaluating Matrix'snotice. In October 2007, the European Patent Office (EPO) Opposition Division ruled thatthe European process patent for NexiumTM, which covers the process formanufacturing esomeprazole and its salts, is valid in its amended form, despitean opposition by the German generic manufacturer ratiopharm. The European patent protecting the formulation of the NexiumTM MUPS product isunder opposition with the EPO and an Opposition Division oral hearing isscheduled for November 2007. The patent is opposed by the generic companiesratiopharm, Hexal, Teva and Krka. AstraZeneca continues to have full confidence in and will vigorously defend andenforce its intellectual property protecting NexiumTM. RhinocortTM Aqua (budesonide) Nasal Spray In September 2007, AstraZeneca AB received a letter from Apotex Inc. (Apotex)stating that Apotex had submitted an ANDA for a budesonide nasal spray (32microgram spray) and that it intended to engage in the commercial manufacture,use and sale of a generic version of RhinocortTM Aqua budesonide Nasal Spraybefore the expiration of US Patent Nos. 6,291,445, 6,686,346 and 6,986,904 (the'445, '346 and '904 patents). The Apotex notice contained a Paragraph IVcertification alleging that the claims of the '445, '346 and '904 patents are"not infringed and invalid." The '346 and '904 patents will expire in April2017. The '445 patent has an additional six months of paediatric exclusivitywhich ends in October 2017. After investigating the allegations in Apotex's Paragraph IV letter, AstraZenecahas decided not to file a patent infringement suit against Apotex. AstraZenecawill not maintain or enforce the '445, '346 and '904 patents and will requesttheir de-listing from the Orange Book. SeroquelTM (quetiapine fumarate) As previously disclosed, AstraZeneca Pharmaceuticals LP, either alone or inconjunction with one or more affiliates, has been sued in numerous individualpersonal injury actions involving SeroquelTM. In most of these cases, thenature of the plaintiffs' alleged injuries is not clear from the complaint andin most instances, little or no factual information regarding the alleged injuryhas been provided in the complaint. However, the plaintiffs generally contendthat they developed diabetes and/or other related injuries as a result of takingSeroquelTM and/or other atypical anti-psychotic medications. As of 17 October 2007, AstraZeneca was defending 8,029 served or answeredlawsuits involving approximately 10,500 plaintiff groups. To date,approximately 996 cases have been dismissed by order or agreement. Discoverydirected to all parties is ongoing in the SeroquelTM cases. AstraZeneca intends to vigorously defend all these SeroquelTM cases. SymbicortTM (formoterol and budesonide) In October 2007, the EPO Technical Board of Appeal ruled that the EuropeanCombination patent for SymbicortTM (formoterol and budesonide) be revoked,following an appeal from a group of generic manufacturers. As at October 2007, there is one granted patent that covers the use of SymbicortTM for COPD under appeal and another under opposition. AstraZeneca will vigorously defend and enforce its remaining intellectualproperty portfolio protecting SymbicortTM, which holds patent dates up to 2019in Europe. Toprol-XLTM (metoprolol succinate) In August 2007, AstraZeneca petitioned the US Court of Appeals for the FederalCircuit to reconsider its decision that the '154 patent is invalid for doublepatenting. In September 2007 the court denied the petition. AstraZeneca did not file a complaint for patent infringement against Dr. Reddy'sin response to the receipt of notice in June 2007 of the filing of an ANDA byDr. Reddy's for the 200mg and 100mg doses of metoprolol succinate extendedrelease tablets. Government Investigations AstraZeneca, along with several other manufacturers, has received a letter fromthe Committee on Oversight and Government Reform of the US House ofRepresentatives as part of the Committee's ongoing oversight of thepharmaceutical industry's research and marketing practices. The Committee hasrequested that AstraZeneca provide clinical and marketing information relatingto SeroquelTM. AstraZeneca has also received a letter from the Finance Committee of the USSenate which requests information regarding AstraZeneca's payments to certainidentified physicians and their prescription data related to SeroquelTM. AstraZeneca is co-operating with both enquiries. Federal Trade Commission (FTC) Study on Authorised Generics In October 2007, AstraZeneca received a Special Order from the FTC, requestingcertain information in connection with the FTC's industry-wide study of theshort and long-term competitive effects of authorised generics in theprescription drug marketplace. AstraZeneca has begun to collect the requestedinformation and plans to respond to the Special Order. Average wholesale price class action litigation MedImmune is involved in various lawsuits brought by various states and countiesin the United States alleging manipulation of average wholesale prices byseveral defendants, including MedImmune. These were disclosed as part ofMedImmune's Annual Report on Form 10-K for the fiscal year ended 31 December2006, filed with the U.S. Securities and Exchange Commission. During the lastquarter, there were no material changes to the status of these lawsuits, exceptthat in October 2007 MedImmune was served with a complaint filed by the State ofIowa. As previously noted, MedImmune was also served with a complaint filed bythe County of Orange, New York, in April 2007. Taxation As previously disclosed in the Annual Report and Form 20-F Information 2006, theinternational tax environment presents increasingly challenging dynamics interms of transfer pricing dispute settlements. Our balance sheet positions fortransfer pricing matters reflect appropriate corresponding relief in theterritories affected. Management considers that at present such correspondingrelief will be available but given the challenges in the international taxenvironment, will keep this aspect under careful review. 6 NINE MONTHS TERRITORIAL SALES ANALYSIS % Growth 9 Months 9 Months 2007 2006 Constant $m $m Actual Currency US 9,701 9,059 7 7 Canada 814 768 6 4 North America 10,515 9,827 7 7 Western Europe** 6,662 5,930 12 4 Japan 1,129 1,061 6 10 Other Established ROW 506 395 28 15 Established ROW* 8,297 7,386 12 5 Emerging Europe 735 615 20 11 China 313 241 30 25 Emerging Asia Pacific 545 466 17 11 Other Emerging ROW 984 786 25 21 Emerging ROW 2,577 2,108 22 16Total Sales 21,389 19,321 11 7 * Established ROW comprises Western Europe (including France, UK, Germany,Italy, Sweden and others), Japan, Australia and New Zealand. ** For the nine months, Western Europe sales growth excluding SynagisTM would be11 percent on an actual basis and 2 percent on a constant currency basis. 7 THIRD QUARTER TERRITORIAL SALES ANALYSIS % Growth 3rd Quarter 3rd Quarter 2007 2006 Constant $m $m Actual Currency US 3,199 3,100 3 3 Canada 286 255 12 6 North America 3,485 3,355 4 3 Western Europe*** 2,200 1,932 14 6 Japan 395 370 7 10 Other Established ROW 196 143 37 20 Established ROW* 2,791 2,445 14 8 Emerging Europe 241 186 30 16 China 112 85 32 25 Emerging Asia Pacific 189 158 20 12 Other Emerging ROW 332 287 16 10 Emerging ROW 874 716 22 14Total Sales 7,150 6,516 10 6 * Established ROW comprises Western Europe (including France, UK, Germany,Italy, Sweden and others), Japan, Australia and New Zealand. *** For the third quarter, Western Europe sales growth excluding SynagisTM wouldbe 10 percent on an actual basis and 3 percent on a constant currency basis. 8 NINE MONTHS PRODUCT SALES ANALYSIS World US 9 Months 9 Months Actual Constant 9 Months Actual 2007 2006 Growth Currency 2007 Growth $m $m % Growth $m % % Gastrointestinal: Nexium 3,913 3,752 4 2 2,568 1Losec/Prilosec 845 1,024 (17) (20) 168 8Others 60 54 11 6 21 50Total Gastrointestinal 4,818 4,830 - (3) 2,757 2Cardiovascular: Crestor 1,997 1,403 42 39 1,038 31Seloken/Toprol-XL 1,229 1,407 (13) (14) 883 (20)Atacand 934 809 15 10 193 1Tenormin 224 238 (6) (8) 14 (26)Zestril 228 229 - (6) 16 (24)Plendil 205 210 (2) (8) 28 40Others 212 213 - (7) 2 -Total Cardiovascular 5,029 4,509 12 8 2,174 1Respiratory:Symbicort 1,139 861 32 23 34 n/mPulmicort 1,007 892 13 11 657 16Rhinocort 267 270 (1) (4) 174 (8)Oxis 64 65 (2) (9) - -Accolate 57 59 (3) (3) 41 (2)Synagis 138 - n/m n/m 58 n/mFluMist - - - - - -Others 121 105 15 7 - -Total Respiratory 2,793 2,252 24 19 964 21Oncology:Arimidex 1,256 1,096 15 11 507 15Casodex 965 879 10 6 220 3Zoladex 797 736 8 4 68 (15)Iressa 168 174 (3) (3) 7 (42)Ethyol 27 - n/m n/m 27 n/mOthers 267 220 21 18 122 44Total Oncology 3,480 3,105 12 8 951 15Neuroscience:Seroquel 2,941 2,504 17 15 2,093 15Local anaesthetics 398 396 1 (5) 32 (51)Zomig 320 295 8 5 133 5Diprivan 189 225 (16) (19) 29 (54)Others 43 44 (2) (7) 11 (15)Total Neuroscience 3,891 3,464 12 10 2,298 10Infection and Other:Merrem 558 437 28 21 107 27Other Products 203 190 7 3 109 12Total Infection and Other 761 627 21 15 216 19Aptium Oncology 300 276 9 9 300 9Astra Tech 317 258 23 14 41 37Total 21,389 19,321 11 7 9,701 7 9 THIRD QUARTER PRODUCT SALES ANALYSIS World US 3rd 3rd Constant 3rd Quarter Quarter Actual Currency Quarter Actual 2007 2006 Growth Growth 2007 Growth $m $m % % $m %Gastrointestinal: Nexium 1,293 1,280 1 (1) 851 (3)Losec/Prilosec 268 324 (17) (20) 54 (4)Others 20 21 (5) (10) 8 (11)Total Gastrointestinal 1,581 1,625 (3) (5) 913 (3)Cardiovascular: Crestor 691 536 29 25 342 14Seloken/Toprol-XL 328 473 (31) (33) 213 (43)Atacand 320 279 15 8 65 (7)Tenormin 73 77 (5) (8) 4 (33)Zestril 72 76 (5) (11) 3 (63)Plendil 66 68 (3) (9) 8 (11)Others 71 70 1 (6) 1 n/mTotal Cardiovascular 1,621 1,579 3 (1) 636 (17)Respiratory:Symbicort 371 276 34 25 4 n/mPulmicort 286 263 9 6 184 12Rhinocort 80 83 (4) (7) 49 (16)Oxis 18 21 (14) (24) - -Accolate 19 20 (5) (5) 13 (13)Synagis 122 - n/m n/m 56 n/mFluMist - - - - - -Others 39 33 18 9 - -Total Respiratory 935 696 34 29 306 29Oncology:Arimidex 425 382 11 7 167 7Casodex 324 299 8 5 72 (1)Zoladex 273 255 7 2 23 (18)Iressa 55 62 (11) (11) 2 (50)Ethyol 19 - n/m n/m 19 n/mOthers 93 78 19 14 42 31Total Oncology 1,189 1,076 11 7 325 11Neuroscience:Seroquel 1,055 848 24 22 760 24Local anaesthetics 129 124 4 (2) 10 (38)Zomig 107 99 8 5 44 7Diprivan 64 64 - (5) 10 (17)Others 16 15 7 - 5 -Total Neuroscience 1,371 1,150 19 16 829 21Infection and Other:Merrem 186 153 22 14 37 12Other Products 63 57 11 14 39 22Total Infection and Other 249 210 19 14 76 17Aptium Oncology 100 95 5 5 100 5Astra Tech 104 85 22 15 14 27Total 7,150 6,516 10 6 3,199 3 Shareholder Information ANNOUNCEMENTS AND MEETINGS Announcement of fourth quarter and full year 2007 results 31 January 2008Announcement of first quarter 2008 results 24 April 2008Annual General Meeting 24 April 2008Announcement of second quarter and half year 2008 results 31 July 2008Announcement of third quarter and nine months 2008 30 October 2008results DIVIDENDS The record date for the first interim dividend payable on 17 September 2007 (inthe UK, Sweden and the US) was 10 August 2007. Ordinary shares were tradedex-dividend on the London and Stockholm Stock Exchanges from 8 August 2007.ADRs traded ex-dividend on the New York Stock Exchange from the same date. The record date for the second interim dividend for 2007 payable on 17 March2008 (in the UK, Sweden and the US) will be 8 February 2008. Ordinary shareswill trade ex-dividend on the London and Stockholm Stock Exchanges from 6February 2008. ADRs will trade ex-dividend on the New York Stock Exchange fromthe same date. Future dividends will normally be paid as follows:First interim Announced in July and paid in SeptemberSecond interim Announced in January and paid in March TRADEMARKS The following brand names used in these interim financial statements aretrademarks of the AstraZeneca Group of companies: Accolate Arimidex Astra Tech Atacand Casodex Crestor Diprivan EthyolFaslodex FluMist Iressa Losec Merrem Nexium Nolvadex Numax Oxis PlendilPrilosec Pulmicort Pulmicort Respules Recentin Rhinocort Rhinocort AquaSeloken Seroquel Symbicort Symbicort SMART Synagis Tenormin Toprol-XLZestril Zoladex Zomig ADDRESSES FOR CORRESPONDENCE Registrar and Depositary Registered Office Swedish SecuritiesTransfer Office for ADRs Registration CentreThe AstraZeneca Registrar JPMorgan Chase Bank 15 Stanhope Gate VPC ABLloyds TSB Registrars JPMorgan Service Center London PO Box 7822The Causeway PO Box 3408 W1K 1LN SE-103 97 StockholmWorthing South Hackensack UK SwedenWest Sussex NJ 07606-3408BN99 6DA USUK Tel (freephone in UK): Tel (toll free in US): Tel: +44 (0)20 7304 5000 Tel: +46 (0)8 402 90000800 389 1580 888 697 8018Tel (outside UK): Tel: +1 (201) 680 6630+44 (0)121 415 7033 CAUTIONARY STATEMENT REGARDING FORWARD-LOOKING STATEMENTS In order to utilise the 'safe harbour' provisions of the US Private SecuritiesLitigation Reform Act 1995, we are providing the following cautionary statement:These interim financial statements contain certain forward-looking statementsabout AstraZeneca. Although we believe our expectations are based on reasonableassumptions, any forward-looking statements may be influenced by factors thatcould cause actual outcomes and results to be materially different from thosepredicted. We identify the forward-looking statements by using the words 'anticipates', 'believes', 'expects', 'intends' and similar expressions in suchstatements. These forward-looking statements are subject to numerous risks anduncertainties. Important factors that could cause actual results to differmaterially from those contained in forward-looking statements, certain of whichare beyond our control, include, among other things: the loss or expiration ofpatents, marketing exclusivity or trade marks; the risk of substantial adverselitigation/government investigation claims and insufficient insurance coverage;exchange rate fluctuations; the risk that R&D will not yield new products thatachieve commercial success; the risk that strategic alliances will beunsuccessful; the impact of competition, price controls and price reductions;taxation risks; the risk of substantial product liability claims; the impact ofany failure by third parties to supply materials or services; the risk offailure to manage a crisis; the risk of delay to new product launches; thedifficulties of obtaining and maintaining regulatory approvals for products; therisk of failure to observe ongoing regulatory oversight; the risk that newproducts do not perform as we expect; the risk of environmental liabilities; therisks associated with conducting business in emerging markets; the risk ofreputational damage; and the risk of product counterfeiting. This information is provided by RNS The company news service from the London Stock ExchangeRelated Shares:
Astrazeneca