Pharmaceuticals Analyst Report

MORGAN
NORTH

STANLEY

RESEARCH

AMERICA

Morgan Stanley & Co. Incorporated

David Risinger
[e-mail]
[phone]

Thomas Chiu
[e-mail]
[phone]

Dana Yi

Industry View
In-Line

October 18, 2010

[e-mail]
[phone]

Large Cap & Specialty
Pharmaceuticals

Christopher Caponetti
[e-mail]
[phone]

Pharma trends in pictures
In this note, we include macro trend analysis plus therapeutic category and product-specific charts.
Macro pages to start; then company sections. The first several pages include FX trends, total prescription market growth, branded vs. generics trends, and certain product launch trends. Company-specific charts of interest follow.
Key highlights on macro charts. The U.S. prescription market has been growing approximately 1% YOY recently, which is consistent with 2010 YTD growth of
1%. Branded drug prescriptions (TRx) are declining
13% YOY; generics are growing 5% YOY. Branded prescriptions represented approximately 25% of U.S. prescription volume but 81% of prescription value in
1H:10.
Summary tables at the end capture most key products. We include total prescription market share plus year-over-year changes on a 1-week, 4-week, and
12-week basis.

Morgan Stanley does and seeks to do business with companies covered in Morgan Stanley Research. As a result, investors should be aware that the firm may have a conflict of interest that could affect the objectivity of Morgan Stanley Research. Investors should consider Morgan Stanley Research as only a single factor in making their investment decision.

For analyst certification and other important disclosures, refer to the Disclosure Section, located at the end of this report.

MORGAN

STANLEY

RESEARCH

October 18, 2010
Large Cap & Specialty Pharmaceuticals

INDEX
Exhibit 1: USD vs. Euro………………………….……………………………………………………………………….……………..p. 4
Exhibit 2: USD weakening vs. Yen