Pfizer Reports Fourth-Quarter and Full-Year 2012 Results; Provides 2013 Financial Guidance

  Pfizer Reports Fourth-Quarter and Full-Year 2012 Results; Provides 2013
  Financial Guidance

  *Fourth-Quarter 2012 Revenues of $15.1 Billion and Full-Year Revenues of
    $59.0 Billion, both excluding Discontinued Operations Revenues of $592
    Million and $2.3 Billion, Respectively, from the Nutrition^(1) Business
  *Fourth-Quarter 2012 Adjusted Diluted EPS^(2) of $0.47, Reported Diluted
    EPS^(3) of $0.85; Full-Year 2012 Adjusted Diluted EPS^(2) of $2.19,
    Reported Diluted EPS^(3) of $1.94
  *Repurchased $3.4 Billion and $8.2 Billion of Common Stock in
    Fourth-Quarter and Full-Year 2012, Respectively
  *Provides Initial 2013 Financial Guidance; Reflects the Benefit of a
    Full-Year Contribution from Zoetis^(4), ^ Partially Offset by a $0.02
    Unfavorable Impact on Adjusted^(2) and Reported^(3) Diluted EPS Guidance
    for Zoetis^(4)-Related Interest Expense and Certain Duplicative and Other
    Costs Given its Potential Separation

Business Wire

NEW YORK -- January 29, 2013

Pfizer Inc. (NYSE: PFE):

($ in millions, except per share                                      
amounts)
                                                                              
           Fourth-Quarter                           Full-Year
            2012       2011^(5)     Change      2012       2011^(5)    Change
Reported   $ 15,068       $ 16,141       (7  %)     $ 58,986     $ 65,259      (10 %)
Revenues
Adjusted     3,512          3,784        (7  %)       16,476       17,839      (8  %)
Income^(2)
Adjusted
Diluted      0.47           0.49         (4  %)       2.19         2.27        (4  %)
EPS^(2)
Reported
Net          6,315          1,439        *            14,570       10,009      46  %
Income^(3)
Reported
Diluted      0.85           0.19         *            1.94         1.27        53  %
EPS^(3)

See end of text prior to tables for notes.

* Calculation not meaningful

Pfizer Inc. (NYSE: PFE) today reported financial results for fourth-quarter
and full-year 2012. Fourth-quarter 2012 revenues were $15.1 billion, a
decrease of 7% compared with $16.1 billion in the year-ago quarter, which
reflects an operational decline of $802 million, or 5%, and the unfavorable
impact of foreign exchange of $271 million, or 2%.

For fourth-quarter 2012, U.S. revenues were $5.8 billion, a decrease of 9%
compared with the year-ago quarter. This decrease was primarily the result of
the loss of exclusivity of Lipitor in November 2011 and Geodon in March 2012.
International revenues were $9.3 billion, a decrease of 5% compared with the
prior-year quarter, mainly due to the losses of exclusivity of Lipitor in
developed Europe during second-quarter 2012 and the unfavorable impact of
foreign exchange. U.S. revenues represented 38% of total revenues in
fourth-quarter 2012 compared with 39% in the year-ago quarter, while
international revenues represented 62% of total revenues in fourth-quarter
2012 compared with 61% in the year-ago quarter.

Full-year 2012 revenues were $59.0 billion, a decrease of 10% compared with
$65.3 billion in full-year 2011, which reflects an operational decline of $4.8
billion, or 8%, and the unfavorable impact of foreign exchange of $1.5
billion, or 2%.

For full-year 2012, U.S. revenues were $23.1 billion, a decrease of 14%
compared with full-year 2011. This decrease was primarily the result of the
aforementioned loss of exclusivity of Lipitor. International revenues were
$35.9 billion, a decrease of 6% compared with the prior year, mainly due to
the previously mentioned losses of exclusivity of Lipitor and the unfavorable
impact of foreign exchange. U.S. revenues represented 39% of total revenues in
full-year 2012 compared with 41% in the previous year, while international
revenues represented 61% of total revenues in full-year 2012 compared with 59%
in full-year 2011.

Fourth-Quarter Revenues^(6)
                        
($ in millions)                                            Foreign
                         2012      2011      Change             Operational
Favorable/(Unfavorable)                                    Exchange
                                                                      
Primary Care              $ 3,833    $ 5,411    (29 %)     (1   %)    (28    %)
Specialty Care              3,668      3,820    (4  %)     (2   %)    (2     %)
Emerging Markets            2,652      2,264    17  %      (3   %)    20     %
Established Products        2,370      2,300    3   %      (2   %)    5      %
Oncology                   370       341      9   %      (2   %)    11     %
Biopharmaceutical           12,893     14,136   (9  %)     (2   %)    (7     %)
                                                                      
Animal Health               1,171      1,106    6   %      (2   %)    8      %
Consumer Healthcare         936        810      16  %      (1   %)    17     %
Other^(7)                  68        89       (24 %)     (1   %)    (23    %)
                                                                      
Total                     $ 15,068   $ 16,141   (7  %)     (2   %)    (5     %)

See end of text prior to tables for notes.

Business Commentary

Primary Care unit revenues decreased 28% operationally in comparison with
fourth-quarter 2011, primarily due to the losses of exclusivity of Lipitor in
most major markets, as well as the resulting shift in the reporting of U.S.
and Japan Lipitor revenues to the Established Products unit beginning January
1, 2012. This decline in revenues for Lipitor and for certain other Primary
Care unit products that lost exclusivity in various markets in 2012 and 2011
reduced Primary Care unit revenues by approximately $1.8 billion, or 33%. The
impact of this decline was slightly offset by the continued strong operational
growth of Lyrica in developed markets as well as Celebrex and Viagra in the
U.S.

Specialty Care unit revenues declined 2% operationally in comparison with
fourth-quarter 2011. Revenues were positively impacted by growth of the
Prevnar/Prevenar franchise, primarily due to the timing of U.S. government
purchases, as well as growth of Enbrel and Rebif, mostly in the U.S., in
addition to Benefix, ReFacto/Xyntha and Zyvox. This increase was more than
offset by approximately $360 million, or 9%, due to product losses of
exclusivity.

Emerging Markets unit revenues grew 20% operationally in comparison with
fourth-quarter 2011. This growth was primarily driven by strong volume growth
in China as a result of more targeted promotional efforts for key innovative
and established products, including Lipitor, Norvasc andSulperazon, and
overall market growth, as well as the timing of government purchases ofEnbrel
in Brazil and Prevenar 13 in Turkey in comparison with the year-ago period.

Established Products unit revenues increased 5% operationally in comparison
with the prior-year period, primarily reflecting the inclusion of $200 million
of U.S. and Japan branded Lipitor revenues in fourth-quarter 2012. This
increase was partially offset by the decline of revenues of certain products
that recently lost exclusivity and the impact of ongoing pricing pressures,
primarily in developed Europe and South Korea. Total revenues from established
products in both the Established Products and Emerging Markets units were $3.5
billion, with $1.1 billion generated in emerging markets.

Oncology unit revenues increased 11% operationally in comparison with
fourth-quarter 2011. Revenues were positively impacted by the launches of
Inlyta and Xalkori in the U.S. and certain other developed markets. Revenues
were negatively impacted by approximately $44 million, or 13%, due to the
shift in the reporting of international Aromasin revenues to the Established
Products unit beginning January 1, 2012.

Consumer Healthcare unit revenues increased 17% operationally in comparison
with fourth-quarter 2011, primarily due to the addition of products from the
acquisitions of Ferrosan Consumer Health in December 2011 and Alacer Corp. in
February 2012 as well as strong growth of Advil and Centrum in the U.S.

Adjusted Expenses^(2), Adjusted Income^(2) and Adjusted Diluted EPS^(2)
Highlights

                        Fourth-Quarter Selected Costs and Expenses
($ in millions)                                               Foreign
                         2012       2011        Change             Operational
(Favorable)/Unfavorable                                       Exchange
                                                                         
Adjusted Cost of          $ 3,106     $ 3,083      1   %      8    %     (7     %)
Sales^(2)
As a Percent of             20.6  %     19.1   %   N/A        N/A        N/A
Revenues
Adjusted SI&A               4,658       5,173      (10 %)     (1   %)    (9     %)
Expenses^(2)
Adjusted R&D               2,000     2,318     (14 %)     (1   %)    (13    %)
Expenses^(2)
                                                                         
Total                     $ 9,764    $ 10,574    (8  %)     1    %     (9     %)

See end of text prior to tables for notes.

Adjusted cost of sales^(2), adjusted SI&A expenses^(2) and adjusted R&D
expenses^(2) in the aggregate were $9.8 billion in fourth-quarter 2012, a
decrease of 8% compared with $10.6 billion in fourth-quarter 2011. Excluding
the unfavorable impact of foreign exchange of $161 million, or 1%, these costs
^ decreased 9%, primarily reflecting the benefits of cost-reduction and
productivity initiatives.

Savings in adjusted R&D expenses^(2) were generated in fourth-quarter 2012
primarily by the discontinuation of certain therapeutic areas and R&D programs
in connection with our previously announced initiatives. Lower adjusted SI&A
expenses^(2) compared with the year-ago period primarily reflect a reduction
in the field force and a decrease in promotional spending, both partially in
response to product losses of exclusivity, and more streamlined corporate
support functions. Adjusted cost of sales^(2) and adjusted cost of sales^(2)
as a percent of revenues were favorably impacted by the benefits generated
from the ongoing cost-reduction and productivity initiatives to streamline the
manufacturing network, while unfavorably impacted by the decline in revenues
contributing to a shift in geographic, business and product mix as well as by
foreign exchange. Additionally, adjusted cost of sales^(2) compared with the
same period last year reflects reduced manufacturing volumes given the
aforementioned products that lost exclusivity in various markets.

In full-year 2012, adjusted cost of sales^(2), adjusted SI&A expenses^(2) and
adjusted R&D expenses^(2) in the aggregate were $34.6 billion, a decrease of
12% compared with $39.2 billion in full-year 2011. Excluding the favorable
impact of foreign exchange of $840 million, or 2%, these costs ^ decreased
10%, primarily reflecting the aforementioned items.

The fourth-quarter 2012 effective tax rate on adjusted income^(2) was 31.0%,
compared with 29.8% in fourth-quarter 2011. The 2012 full-year effective tax
rate on adjusted income^(2) was 29.3%, compared with 29.6% for the full-year
2011. The rates for 2012compared with the prior-year rates reflect the impact
of the change in the jurisdictional mix of earnings andthe expiration of the
U.S. research and development tax credit. The full-year 2012 effective tax
rate compared to the prior-year rate also reflects the favorable impact of the
resolution of foreign audits pertaining to multiple tax years, recorded in
third-quarter 2012.

The diluted weighted-average shares outstanding for fourth-quarter and
full-year 2012 were 7.4 billion and 7.5 billion shares, respectively, a
reduction of approximately 292 million and 362 million shares, respectively,
compared with the same periods in 2011. These declines were primarily due to
the Company’s ongoing share-repurchase program.

As a result of the aforementioned factors, fourth-quarter 2012 adjusted
income^(2) was $3.5 billion, a decrease of 7% compared with $3.8 billion in
the year-ago quarter, and adjusted diluted EPS^(2) was $0.47, a decrease of 4%
compared with $0.49 in fourth-quarter 2011. Full-year 2012 adjusted income^(2)
was $16.5 billion, a decrease of 8% compared with $17.8 billion in full-year
2011, and adjusted diluted EPS^(2) was $2.19, a decrease of 4% compared with
$2.27 in full-year 2011.

Reported Net Income^(3) and Reported Diluted EPS^(3) Highlights

In addition to the aforementioned factors, fourth-quarter and full-year 2012
reported earnings in comparison with the same periods in 2011 were favorably
impacted by the gain on the sale of the Nutrition^(1) business, lower purchase
accounting adjustments, lower acquisition-related costs and lower costs
related to cost-reduction and productivity initiatives, while unfavorably
impacted by higher  costs associated with the potential separation of
Zoetis^(4). Full-year 2012 reported earnings in comparison with full-year 2011
were also unfavorably impacted by certain legal charges, primarily associated
with hormone-replacement therapy, Rapamune, Celebrex and Chantix, and the
non-recurrence of the gain on the sale of Capsugel^(5) recorded in
third-quarter 2011.

The fourth-quarter 2012 effective tax rate on reported results was 31.3%,
compared with 34.4% in fourth-quarter 2011. The full-year 2012 effective tax
rate on reported results was 21.2%, compared with 31.8% for full-year 2011.
The lower rates for 2012 compared with the prior-year rates reflect the impact
of the change in the jurisdictional mix of earnings and the expiration of the
U.S. research and development tax credit. The full-year 2012 effective tax
rate was also favorably impacted by a settlement with the U.S. Internal
Revenue Service related to audits for multiple tax years and the
aforementioned resolution of foreign audits, partially offset by the
unfavorable impact of the non-deductibility of the aforementioned legalcharge
related to Rapamune, all recorded in third-quarter 2012.

As a result of all these factors, fourth-quarter 2012 reported net income^(3)
was $6.3 billion, compared with $1.4 billion in the prior-year quarter, and
reported diluted EPS^(3) was $0.85, compared with $0.19 in fourth-quarter
2011. Full-year 2012 reported net income^(3) was $14.6 billion, an increase of
46% compared with $10.0 billion in full-year 2011, and reported diluted
EPS^(3) was $1.94, an increase of 53% compared with $1.27 in full-year 2011.

Executive Commentary

Ian Read, Chairman and Chief Executive Officer, stated, “In 2012, we generated
attractive returns for our shareholders and made meaningful progress in
positioning Pfizer for anticipated sustained value creation. Notable
achievements during 2012 included approvals of five important new products in
key markets, realizing significant value through the sale of our Nutrition^(1)
business, preparation for our potential initial public offering of up to a
19.8% stake in Zoetis^(4) in order to further unlock value, as well as
returning almost $15 billion to our shareholders through dividends and share
repurchases. In addition, many of our key innovative products reported solid
operational growth, and our Emerging Markets business generated strong growth.
We continued to make important advances in our mid-to-late stage pipeline,
notably in the oncology and vaccines areas, effectively managed our cost
structure and progressed key initiatives that I believe will drive future
growth. These achievements reflect the continued hard work and commitment of
our colleagues in support of Pfizer’s ability to realize long-term success.”

“During 2013, we will continue to foster our two distinct operating models in
order to best support our innovative and value-driven businesses and position
them to generate peak performance. We also look forward to successful launches
for Xeljanz for the treatment of moderate-to-severe rheumatoid arthritis and,
together with our partner Bristol-Myers Squibb, Eliquis for the prevention of
stroke and systemic embolism in patients with nonvalvular atrial fibrillation.
These opportunities represent important new therapies in high-need markets. In
addition, our mid-to-late stage pipeline continues to strengthen with key
potential opportunities, including palbociclib (PD-332991) for advanced breast
cancer, RN316 (PCSK9) for lowering LDL cholesterol, dacomitinib for advanced
non-small cell lung cancer,inotuzumab for aggressive non-Hodgkin's lymphoma
and acute lymphoblastic leukemia,  Xeljanz for psoriasis, and the rLP2086
vaccine for meningococcal B in adolescents and young adults. In addition, I
expect that ‘bolt-on’ business development will continue to play an important
role in supplementing our internal efforts.”

“In summary, we remain intently focused on continued value creation for our
shareholders, driving meaningful innovation and pursuing the most attractive
opportunities for deployment of our shareholders’ capital,” concluded Mr.
Read.

Frank D’Amelio, Chief Financial Officer, stated, “Overall, I am pleased with
our 2012 financial performance, our recent product approvals and our expense
reductions, as evidenced by the $4.5 billion decline in adjusted cost of
sales, SI&A expenses and R&D expenses^(2) in the aggregate compared with 2011.
Additionally, we completed an important strategic initiative through the sale
of our Nutrition^(1) business to Nestlé, and are ready to execute on another
important strategic initiative with the potential initial public offering of
up to a 19.8% stake in Zoetis^(4), after having recently completed a related
$3.65 billion debt offering. We continue to expect to allocate the proceeds
from these transactions to share repurchases while also considering other
value-creating opportunities, with the return on share repurchases remaining
the case to beat.”

“We are also providing our initial 2013 financial guidance, including a range
for revenues of $56.2 to $58.2 billion and for adjusted diluted EPS^(2) of
$2.20 to $2.30. Our guidance reflects the benefit of a full-year contribution
from Zoetis^(4), partially offset by an unfavorable $0.02 adjusted^(2) and
reported^(3) diluted EPS impact for Zoetis^(4)-related interest expense
associated with the $3.65 billion debt offering and certain duplicative and
other costs given the potential separation of Zoetis^(4). Additionally, our
revenue guidance reflects the anticipated negative impact of approximately $4
billion due to product losses of exclusivity and the near-term expiration of
certain co-promotion agreements. We expect adjusted SI&A expenses^(2) to ^ be
between $15.6 billion and $16.6 billion, with the mid-point below the 2012
level. Notably, we expect SI&A expenses will include substantial expenses
associated with the launches of various key medicines, including Eliquis,
Xeljanz and Prevnar/Prevenar 13 for adults, but plan to essentially offset
those incremental expenses through our cost-reduction initiatives. Lastly, we
expect to continue to deploy significant capital to share repurchases during
the year,” concluded Mr. D’Amelio.

2013 Financial Guidance

Pfizer’s financial guidance is summarized below.
                                                
Reported Revenues                                $56.2 to $58.2 billion
Adjusted Cost of Sales^(2) as a Percentage of    19.0% to 20.0%
Revenues
Adjusted SI&A Expenses^(2)                       $15.6 to $16.6 billion
Adjusted R&D Expenses^(2)                        $6.5 to $7.0 billion
Adjusted Other (Income)/Deductions^(2)           Approximately $900 million
Effective Tax Rate on Adjusted Income^(2)        Approximately 28.0%
Reported Diluted EPS^(3)                         $1.50 to $1.65
Adjusted Diluted EPS^(2)                         $2.20 to $2.30

The exchange rates assumed in connection with the 2013 financial guidance are
as of mid-January 2013.

The 2013 financial guidance does not assume the completion of any business
development transactionsnot completed as of December 31, 2012, including any
one-time upfront payments associated with such transactions, and excludes the
potential effects of the resolution of litigation-related matters not
substantially resolved as of December 31, 2012.

The 2013 financial guidance reflects the benefit of a full-year contribution
from Zoetis^(4). Adjusted^(2) and Reported^(3) Diluted EPS guidance includes a
$0.02 unfavorable impact for Zoetis^(4)-related interest expense and certain
duplicative and other costs given its potential separation. Reported Diluted
EPS^(3) guidance includes an additional $0.02 unfavorable impact for costs
related to the establishment of Zoetis’^(4) corporate and manufacturing
support functions, and certain other costs related to the potential separation
of Zoetis^(4) from Pfizer, including new branding, creation of a standalone
infrastructure, site separation and certain legal registration and patent
assignment costs.

For additional details, please see the attached financial schedules, product
revenue tables, supplemental information and disclosure notice.

      On November 30, 2012, Pfizer completed the sale of the Nutrition
      business to Nestlé. The operating results of the Nutrition business are
      reported as Discontinued Operations – net of tax in the consolidated
(1)  statements of income for all periods presented. The gain on the sale of
      the Nutrition business is reported as Discontinued Operations – net of
      tax in the consolidated statements of income for fourth-quarter and
      full-year 2012.
      
      "Adjusted Income" and its components and "Adjusted Diluted Earnings Per
      Share (EPS)" are defined as reported U.S. generally accepted accounting
      principles (GAAP) net income^(3) and its components and reported diluted
      EPS^(3) excluding purchase accounting adjustments, acquisition-related
      costs, discontinued operations and certain significant items. Adjusted
      Cost of Sales, Adjusted Selling, Informational and Administrative (SI&A)
      expenses, Adjusted Research and Development (R&D) expenses and Adjusted
      Other (Income)/Deductions are income statement line items prepared on
      the same basis, and, therefore, components of the overall adjusted
      income measure. As described under Adjusted Income in the Management’s
      Discussion and Analysis of Financial Condition and Results of Operations
(2)   section of Pfizer's Form 10-Q for the fiscal quarter ended September 30,
      2012, management uses adjusted income, among other factors, to set
      performance goals and to measure the performance of the overall company.
      We believe that investors' understanding of our performance is enhanced
      by disclosing this measure. Reconciliations of certain GAAP reported to
      non-GAAP adjusted information for the fourth-quarter and full-year 2012
      and 2011, as well as reconciliations of full-year 2013 guidance for
      adjusted income and adjusted diluted EPS to full-year 2013 guidance for
      reported net income^(3) and reported diluted EPS^(3), are provided in
      the materials accompanying this report. The adjusted income and its
      components and adjusted diluted EPS measures are not, and should not be
      viewed as, substitutes for U.S. GAAP net income and its components and
      diluted EPS.
      
      “Reported Net Income” is defined as net income attributable to Pfizer
(3)   Inc. in accordance with U.S. GAAP. “Reported Diluted EPS” is defined as
      reported diluted EPS attributable to Pfizer Inc. common shareholders in
      accordance with U.S. GAAP.
      
      Pfizer previously announced its intention to initiate a potential
      initial public offering of up to a 19.8% stake in Zoetis Inc. (Zoetis),
      a subsidiary of Pfizer, and Zoetis has filed a registration statement
      with the Securities and Exchange Commission. Upon completion of the
      potential initial public offering, Pfizer will have transferred
(4)   substantially all of its animal health business assets and liabilities
      to Zoetis. The financial results of Zoetis differ from the financial
      results of the Animal Health business unit as the components of this
      unit differ from Zoetis and, therefore, the financial results of the
      Animal Health business unit should not be relied upon as indicative of
      the performance of Zoetis.
      
      On August 1, 2011, Pfizer completed the sale of Capsugel to an affiliate
      of Kohlberg Kravis Roberts & Co. L.P. The operating results and the gain
      on the sale of Capsugel are reported as Discontinued operations – net of
      tax in the consolidated statements of income for full-year 2011.
(5)   Additionally, due to the acquisition of King Pharmaceuticals, Inc.
      (King), legacy King operations are reflected in the results beginning
      January 31, 2011. Therefore, in accordance with Pfizer’s domestic and
      international reporting periods, in full-year 2011 the operating results
      reflect approximately eleven months of King’s U.S. operations and
      approximately ten months of King’s international operations.
      
      For a description of each business unit, see Note 13A to Pfizer’s
(6)   condensed consolidated financial statements included in Pfizer’s Form
      10-Q for the fiscal quarter ended September 30, 2012.
      
      Other includes revenues generated primarily from Pfizer CentreSource,
(7)   Pfizer’s contract manufacturing and bulk pharmaceutical chemical sales
      organization.

PFIZER INC. AND SUBSIDIARY COMPANIES
CONSOLIDATED STATEMENTS OF INCOME^(a)
(UNAUDITED)
(millions, except per common share data)
                                                                      
                        Fourth-Quarter        % Incr.   Full-Year             % Incr.
                                              /                               /
                         2012      2011     (Decr.)    2012      2011     (Decr.)
  Revenues              $ 15,068   $ 16,141   (7)       $ 58,986   $ 65,259   (10)
  Costs and expenses:
    Cost of sales^(b)     3,172      3,627    (13)        11,334     14,076   (19)
    Selling,
    informational and     4,815      5,197    (7)         16,616     18,832   (12)
    administrative
    expenses^(b)
    Research and
    development           2,136      2,587    (17)        7,870      9,074    (13)
    expenses^(b)
    Amortization of
    intangible            1,236      1,406    (12)        5,175      5,544    (7)
    assets^(c)
    Restructuring
    charges and certain   791        472      68          1,880      2,930    (36)
    acquisition-related
    costs
    Other                748       697      7          4,031     2,499    61
    deductions--net
  Income from
  continuing operations
  before provision
    for taxes on income   2,170      2,155    1           12,080     12,304   (2)
  Provision for taxes    680       742      (8)        2,562     3,909    (34)
  on income
  Income from             1,490      1,413    5           9,518      8,395    13
  continuing operations
  Discontinued
  operations--net of     4,831     35       *          5,080     1,654    207
  tax
  Net income before
  allocation to           6,321      1,448    *           14,598     10,049   45
  noncontrolling
  interests
  Less: Net income
  attributable to        6         9        (33)       28        40       (30)
  noncontrolling
  interests
  Net income
  attributable to       $ 6,315    $ 1,439    *         $ 14,570   $ 10,009   46
  Pfizer Inc.
  Earnings per common
  share--basic:^(d)
    Income from
    continuing
    operations
    attributable to
    Pfizer Inc. common  $ 0.20     $ 0.18     11        $ 1.27     $ 1.07     19
    shareholders
    Discontinued
    operations--net of   0.66      -        *          0.68      0.21     224
    tax
    Net income
    attributable to     $ 0.86     $ 0.19     *         $ 1.96     $ 1.28     53
    Pfizer Inc. common
    shareholders
  Earnings per common
  share--diluted:^(d)
    Income from
    continuing
    operations
    attributable to
    Pfizer Inc. common  $ 0.20     $ 0.18     11        $ 1.26     $ 1.06     19
    shareholders
    Discontinued
    operations--net of   0.65      -        *          0.68      0.21     224
    tax
    Net income
    attributable to     $ 0.85     $ 0.19     *         $ 1.94     $ 1.27     53
    Pfizer Inc. common
    shareholders
  Weighted-average
  shares used to
  calculate earnings
  per common share:
    Basic                7,319     7,635               7,442     7,817
    Diluted              7,395     7,687               7,508     7,870

    The above financial statements present the three and twelve months ended
(a) December 31, 2012 and 2011. Subsidiaries operating outside the United
    States are included for the three and twelve months ended November 30,
    2012 and 2011.
    
    On November 30, 2012, we completed the sale of our Nutrition business and
    recognized a gain of approximately $4.8 billion related to the sale of
    this business in Discontinued operations--net of tax for the three and
    twelve months ended December 31, 2012. The operating results of this
    business are reported as Discontinued operations--net of tax for all
    periods presented.
                                           
    On August 1, 2011, we completed the sale of our Capsugel business and
    recognized a gain of approximately $1.3 billion related to the sale of
    this business.  The gain and the operating results of this business are
    reported as Discontinued operations--net of tax for the twelve months
    ended December 31, 2011.
                                           
    On January 31, 2011, we completed a tender offer for the outstanding
    shares of common stock of King Pharmaceuticals, Inc. (King) and,
    commencing from that date, our financial statements include the assets,
    liabilities, operating results and cash flows of King. As a result, and in
    accordance with our domestic and international reporting periods, our
    operating results for the twelve months ended December 31, 2011 reflect
    approximately eleven months of King’s U.S. operations and approximately
    ten months of King’s international operations.
                                           
    * Calculation not meaningful.
                                           
    Certain amounts and percentages may reflect rounding adjustments.
                                           
    See Supplemental Information that accompanies these materials for
    additional details.
                                           
(b) Exclusive of amortization of intangible assets, except as discussed in
    footnote (c) below.
                                           
    Amortization expense related to acquired intangible assets that contribute
    to our ability to sell, manufacture, research, market and distribute
    products, compounds and intellectual property is included in Amortization
(c) of intangible assets as these intangible assets benefit multiple business
    functions. Amortization expense related to acquired intangible assets that
    are associated with a single function is included in Cost of sales,
    Selling, informational and administrative expenses or Research and
    development expenses, as appropriate.
                                           
(d) EPS amounts may not add due to rounding.

PFIZER INC. AND SUBSIDIARY COMPANIES
RECONCILIATION OF GAAP REPORTED TO NON-GAAP ADJUSTED INFORMATION
CERTAIN LINE ITEMS
(UNAUDITED)
(millions of dollars, except per common share data)
                                                                                                 
                        Quarter Ended December 31, 2012
                        GAAP             Purchase        Acquisition-     Discontinued     Certain         Non-GAAP
                                         Accounting      Related          Operations       Significant     Adjusted^(a)
                        Reported^(1)     Adjustments     Costs^(2)                         Items^(3)
  Revenues            $ 15,068         $ -             $ -              $ -              $ -             $ 15,068
  Cost of sales^(b)     3,172            4               (53)             -                (17)            3,106
  Selling,
  informational and     4,815            9               (1)              -                (165)           4,658
  administrative
  expenses^(b)
  Research and
  development           2,136            -               (1)              -                (135)           2,000
  expenses^(b)
  Amortization of
  intangible            1,236            (1,210)         -                -                -               26
  assets^(c)
  Restructuring
  charges and certain   791              -               (262)            -                (529)           -
  acquisition-related
  costs
  Other                 748              (10)            -                -                (557)           181
  deductions--net
  Income from
  continuing
  operations before     2,170            1,207           317              -                1,403           5,097
  provision for taxes
  on income
  Provision for taxes   680              334             50               -                515             1,579
  on income
  Income from
  continuing            1,490            873             267              -                888             3,518
  operations
  Discontinued
  operations--net of    4,831            -               -                (4,831)          -               -
  tax
  Net income
  attributable to       6                -               -                -                -               6
  noncontrolling
  interests
  Net income
  attributable to       6,315            873             267              (4,831)          888             3,512
  Pfizer Inc.
  Earnings per common
  share attributable    0.85             0.12            0.04             (0.65)           0.12            0.47
  to Pfizer
  Inc.--diluted^(d)
                                                                                                           
                                                                                                           
                                                                                                           
                                                                                                           
                        Twelve Months Ended December 31, 2012
                        GAAP             Purchase        Acquisition-     Discontinued     Certain         Non-GAAP
                        Reported^(1)     Accounting      Related          Operations       Significant     Adjusted^(a)
                                         Adjustments     Costs^(2)                         Items^(3)
  Revenues            $ 58,986         $ -             $ -              $ -              $ -             $ 58,986
  Cost of sales^(b)     11,334           (5)             (267)            -                (68)            10,994
  Selling,
  informational and     16,616           13              (9)              -                (339)           16,281
  administrative
  expenses^(b)
  Research and
  development           7,870            3               (6)              -                (521)           7,346
  expenses^(b)
  Amortization of
  intangible            5,175            (4,973)         -                -                -               202
  assets^(c)
  Restructuring
  charges and certain   1,880            -               (685)            -                (1,195)         -
  acquisition-related
  costs
  Other                 4,031            5               -                -                (3,201)         835
  deductions--net
  Income from
  continuing
  operations before     12,080           4,957           967              -                5,324           23,328
  provision for taxes
  on income
  Provision for taxes   2,562            1,359           211              -                2,692           6,824
  on income
  Income from
  continuing            9,518            3,598           756              -                2,632           16,504
  operations
  Discontinued
  operations--net of    5,080            -               -                (5,080)          -               -
  tax
  Net income
  attributable to       28               -               -                -                -               28
  noncontrolling
  interests
  Net income
  attributable to       14,570           3,598           756              (5,080)          2,632           16,476
  Pfizer Inc.
  Earnings per common
  share attributable    1.94             0.48            0.10             (0.68)           0.35            2.19
  to Pfizer
  Inc.--diluted^(d)

      Non-GAAP Adjusted income and its components and Non-GAAP Adjusted
      diluted EPS are not, and should not be viewed as, substitutes for U.S.
      GAAP net income and its components and diluted EPS. Despite the
      importance of these measures to management in goal setting and
      performance measurement, Non-GAAP Adjusted income and its components and
      Non-GAAP Adjusted diluted EPS are Non-GAAP financial measures that have
 (a) no standardized meaning prescribed by U.S. GAAP and, therefore, have
      limits in their usefulness to investors. Because of the non-standardized
      definitions, Non-GAAP Adjusted income and its components and Non-GAAP
      Adjusted diluted EPS (unlike U.S. GAAP net income and its components and
      diluted EPS) may not be comparable to the calculation of similar
      measures of other companies. Non-GAAP Adjusted income and its components
      and Non-GAAP Adjusted diluted EPS are presented solely to permit
      investors to more fully understand how management assesses performance.
      
  (b) Exclusive of amortization of intangible assets, except as discussed in
      footnote (c) below.
      
      Amortization expense related to acquired intangible assets that
      contribute to our ability to sell, manufacture, research, market and
      distribute products, compounds and intellectual property is included in
  (c) Amortization of intangible assets as these intangible assets benefit
      multiple business functions. Amortization expense related to acquired
      intangible assets that are associated with a single function is included
      in Cost of sales, Selling, informational and administrative expensesor
      Research and development expenses, as appropriate.
      
  (d) EPS amounts may not add due to rounding.
      
  See end of tables for notes (1), (2) and (3).
      
  Certain amounts may reflect rounding adjustments.

PFIZER INC. AND SUBSIDIARY COMPANIES
RECONCILIATION OF GAAP REPORTED TO NON-GAAP ADJUSTED INFORMATION
CERTAIN LINE ITEMS
(UNAUDITED)
(millions of dollars, except per common share data)
                                                                                                  
                      Quarter Ended December 31, 2011
                                           Purchase        Acquisition-                      Certain
                        GAAP               Accounting      Related          Discontinued                     Non-GAAP
                        Reported^(1)       Adjustments     Costs^(2)        Operations       Significant     Adjusted^(a)
                                                                                             Items^(3)
  Revenues            $ 16,141           $ -             $ -              $ -              $ -             $ 16,141
  Cost of sales^(b)     3,627              (149)           (145)            -                (250)           3,083
  Selling,
  informational and     5,197              (5)             (4)              -                (15)            5,173
  administrative
  expenses^(b)
  Research and
  development           2,587              2               (14)             -                (257)           2,318
  expenses^(b)
  Amortization of
  intangible            1,406              (1,353)         -                -                -               53
  assets^(c)
  Restructuring
  charges and certain   472                -               (360)            -                (112)           -
  acquisition-related
  costs
  Other                 697                (51)            -                -                (538)           108
  deductions--net
  Income from
  continuing
  operations before     2,155              1,556           523              -                1,172           5,406
  provision for taxes
  on income
  Provision for taxes   742                408             202              -                261             1,613
  on income
  Income from
  continuing            1,413              1,148           321              -                911             3,793
  operations
  Discontinued
  operations--net of    35                 -               -                (35)             -               -
  tax
  Net income
  attributable to       9                  -               -                -                -               9
  noncontrolling
  interests
  Net income
  attributable to       1,439              1,148           321              (35)             911             3,784
  Pfizer Inc.
  Earnings per common
  share attributable    0.19               0.15            0.04             -                0.12            0.49
  to Pfizer
  Inc.--diluted^(d)
                                                                                                             
                                                                                                             
                                                                                                             
                                                                                                             
                        Twelve Months Ended December 31, 2011
                                           Purchase        Acquisition-                      Certain
                        GAAP              Accounting      Related         Discontinued    Significant    Non-GAAP
                        Reported^(1)       Adjustments                      Operations       Items^(3)       Adjusted^(a)
                                                           Costs^(2)
  Revenues            $ 65,259           $ -             $ -              $ -              $ -             $ 65,259
  Cost of sales^(b)     14,076             (1,230)         (555)            -                (257)           12,034
  Selling,
  informational and     18,832             (11)            (45)             -                (54)            18,722
  administrative
  expenses^(b)
  Research and
  development           9,074              2               (23)             -                (655)           8,398
  expenses^(b)
  Amortization of
  intangible            5,544              (5,392)         -                -                -               152
  assets^(c)
  Restructuring
  charges and certain   2,930              -               (1,356)          -                (1,574)         -
  acquisition-related
  costs
  Other                 2,499              (122)           -                -                (1,807)         570
  deductions--net
  Income from
  continuing
  operations before     12,304             6,753           1,979            -                4,347           25,383
  provision for taxes
  on income
  Provision for taxes   3,909              1,753           522              -                1,320           7,504
  on income
  Income from
  continuing            8,395              5,000           1,457            -                3,027           17,879
  operations
  Discontinued
  operations--net of    1,654              -               -                (1,654)          -               -
  tax
  Net income
  attributable to       40                 -               -                -                -               40
  noncontrolling
  interests
  Net income
  attributable to       10,009             5,000           1,457            (1,654)          3,027           17,839
  Pfizer Inc.
  Earnings per common
  share attributable    1.27               0.64            0.19             (0.21)           0.38            2.27
  to Pfizer
  Inc.--diluted^(d)

      Non-GAAP Adjusted income and its components and Non-GAAP Adjusted
      diluted EPS are not, and should not be viewed as, substitutes for U.S.
      GAAP net income and its components and diluted EPS. Despite the
      importance of these measures to management in goal setting and
      performance measurement, Non-GAAP Adjusted income and its components and
      Non-GAAP Adjusted diluted EPS are Non-GAAP financial measures that have
 (a) no standardized meaning prescribed by U.S. GAAP and, therefore, have
      limits in their usefulness to investors. Because of the non-standardized
      definitions, Non-GAAP Adjusted income and its components and Non-GAAP
      Adjusted diluted EPS (unlike U.S. GAAP net income and its components and
      diluted EPS) may not be comparable to the calculation of similar
      measures of other companies. Non-GAAP Adjusted income and its components
      and Non-GAAP Adjusted diluted EPS are presented solely to permit
      investors to more fully understand how management assesses performance.
      
  (b) Exclusive of amortization of intangible assets, except as discussed in
      footnote (c) below.
      
      Amortization expense related to acquired intangible assets that
      contribute to our ability to sell, manufacture, research, market and
      distribute products, compounds and intellectual property is included in
  (c) Amortization of intangible assets as these intangible assets benefit
      multiple business functions. Amortization expense related to acquired
      intangible assets that are associated with a single function is included
      in Cost of sales, Selling, informational and administrative expenses or
      Research and development expenses, as appropriate.
      
  (d) EPS amounts may not add due to rounding.
      
  See end of tables for notes (1), (2) and (3).
      
  Certain amounts may reflect rounding adjustments.

PFIZER INC. AND SUBSIDIARY COMPANIES
NOTES TO RECONCILIATION OF GAAP REPORTED TO NON-GAAP ADJUSTED INFORMATION
CERTAIN LINE ITEMS*
(UNAUDITED)
    
      The financial statements present the three and twelve months ended
(1)   December 31, 2012 and 2011. Subsidiaries operating outside the United
      States are included for the three and twelve months ended November 30,
      2012 and 2011.
      
      On November 30, 2012, we completed the sale of our Nutrition business
      and recognized a gain of approximately $4.8 billion related to the sale
      of this business in Discontinued operations--net of tax for the three
      and twelve months ended December 31, 2012. The operating results of this
      business are reported as Discontinued operations--net of tax for all
      periods presented.
      
      On August 1, 2011, we completed the sale of our Capsugel business and
      recognized a gain of approximately $1.3 billion related to the sale of
      this business.  The gain and the operating results of this business are
      reported as Discontinued operations--net of tax for the twelve months
      ended December 31, 2011.
      
      On January 31, 2011, we completed a tender offer for the outstanding
      shares of common stock of King Pharmaceuticals, Inc. (King) and,
      commencing from that date, our financial statements include the assets,
      liabilities, operating results and cash flows of King. As a result, and
      in accordance with our domestic and international reporting periods, our
      operating results for the twelve months ended December 31, 2011 reflect
      approximately eleven months of King’s U.S. operations and approximately
      ten months of King’s international operations.
      
(2)   Acquisition-related costs include the following:

                              Fourth-Quarter       Full-Year
    (millions of dollars)        2012    2011     2012    2011  
                                                                     
    Transaction costs^(a)           $ -        $ 2        $ 1        $ 30
    Integration costs^(a)             110        163        405        725
    Restructuring                     152        195        279        601
    charges^(a)
    Additional depreciation --       55       163      282      623   
    asset restructuring^(b)
    Total acquisition-related         317        523        967        1,979
    costs -- pre-tax
    Income taxes^(c)                 (50  )    (202 )    (211 )    (522  )
    Total acquisition-related       $ 267     $ 321     $ 756     $ 1,457 
    costs -- net of tax

          Transaction costs represent external costs directly related to
          acquired businesses and primarily include expenditures for banking,
          legal, accounting and other similar services. Integration costs
          represent external, incremental costs directly related to
     (a) integrating acquired businesses, and primarily include expenditures
          for consulting and the integration of systems and processes.
          Restructuring charges include employee termination costs, asset
          impairments and other exit costs associated with business
          combinations. All of these costs and charges are included in
          Restructuring charges and certain acquisition-related costs.
          
          Represents the impact of changes in the estimated useful lives of
          assets involved in restructuring actions related to acquisitions.
          Included in Cost of sales ($53 million), Selling, informational and
          administrative expenses ($1 million), and Research and development
          expenses ($1 million) for the three months ended December 31, 2012.
          Included in Cost of sales ($267 million), Selling, informational and
          administrative expenses ($9 million) and Research and development
      (b) expenses ($6 million) for the twelve months ended December 31, 2012.
          Included in Cost of sales ($145 million), Selling, informational and
          administrative expenses ($4 million) and Research and development
          expenses ($14 million) for the three months ended December 31, 2011.
          Included in Cost of sales ($555 million), Selling, informational and
          administrative expenses ($45 million) and Research and development
          expenses ($23 million) for the twelve months ended December 31,
          2011.
          
      (c) Included in Provision for taxes on income.
          
(3)   Certain significant items include the following:

                           Fourth-Quarter         Full-Year
    (millions of            2012     2011      2012      2011   
    dollars)
                                                                    
    Restructuring              $ 529       $ 112       $ 1,195      $ 1,574
    charges^(a)
    Implementation costs
    and additional               207         522         693          959
    depreciation -- asset
    restructuring^(b)
    Certain legal                208         165         2,191        822
    matters^(c)
    Certain asset
    impairment                   369         261         912          856
    charges^(d)
    Costs associated with
    the potential                134         27          325          35
    separation of
    Zoetis^(e)
    Other                       (44   )    85        8          101    
    Total certain
    significant items --         1,403       1,172       5,324        4,347
    pre-tax
    Income taxes^(f)            (515  )    (261  )    (2,692 )    (1,320 )
    Total certain
    significant items --       $ 888      $ 911      $ 2,632     $ 3,027  
    net of tax

               Primarily related to our cost-reduction and productivity
   (a)        initiatives, included in Restructuring charges and certain
               acquisition-related costs.
               
               Primarily related to our cost-reduction and productivity
               initiatives. Included in Cost of sales ($8 million), Selling,
               informational and administrative expenses ($64 million) and
               Research and development expenses ($135 million) for the three
               months ended December 31, 2012. Included in Cost of sales ($31
               million), Selling, informational and administrative expenses
               ($141 million) and Research and development expenses ($521
    (b)        million) for the twelve months ended December 31, 2012.
               Included in Cost of sales ($250 million), Selling,
               informational and administrative expenses ($15 million) and
               Research and development expenses ($257 million) for the three
               months ended December 31, 2011. Included in Cost of sales ($250
               million), Selling, informational and administrative expenses
               ($54 million) and Research and development expenses ($655
               million) for the twelve months ended December 31, 2011.
               
               Included in Other deductions--net. In fourth-quarter 2012,
               primarily includes charges related to Chantix litigation. In
               full-year 2012, primarily includes a $491 million charge
               resulting from an agreement-in-principle with the U.S.
               Department of Justice to resolve an investigation into Wyeth’s
    (c)        historical promotional practices in connection with Rapamune, a
               $450 million settlement of a lawsuit by Brigham Young
               University related to Celebrex, and charges related to
               hormone-replacement therapy litigation and Chantix litigation.
               In 2011, primarily includes charges for hormone-replacement
               therapy litigation.
               
               Primarily included in Other deductions--net. In fourth-quarter
               and full-year 2012, primarily relates to certain intangible
               assets acquired in connection with our acquisitions of Wyeth
               and King, including in-process research and development (IPR&D)
               intangible assets. In fourth-quarter 2011, primarily relates to
    (d)        our indefinite-lived brand asset, Xanax, as a result of an
               increased competitive environment. In full-year 2011,
               substantially all relates to certain intangible assets acquired
               in connection with our acquisition of Wyeth, including IPR&D
               intangible assets, and our indefinite-lived brand asset, Xanax,
               as mentioned in the previous sentence.
               
               Costs incurred in connection with the potential initial public
               offering of up to a 19.8% ownership stake in Zoetis. Includes
               expenditures for banking, legal, accounting and similar
               services related to the potential transaction, as well as costs
               incurred associated with the potential separation of Zoetis
               employees, net assets and operations from Pfizer, such as
               consulting and systems costs. Included in Cost of sales ($6
    (e)        million), Selling, informational and administrative expenses
               ($96 million) and Other deductions--net ($32 million) for the
               three months ended December 31, 2012. Included in Cost of sales
               ($6 million), Selling, informational and administrative
               expenses ($194 million) and Other deductions--net ($125
               million) for the twelve months ended December 31, 2012. For the
               three and twelve months ended December 31, 2011, substantially
               all included in Other deductions--net.
               
               Included in Provision for taxes on income. Includes a
    (f)        settlement with the U.S. IRS related to audits for multiple tax
               years of $1.1 billion, representing tax and interest, for the
               twelve months ended December 31, 2012.
               
    Non-GAAP Adjusted income and its components and Non-GAAP Adjusted diluted
    EPS are not, and should not be viewed as, substitutes for U.S. GAAP net
    income and its components and diluted EPS. Despite the importance of these
    measures to management in goal setting and performance measurement,
    Non-GAAP Adjusted income and its components and Non-GAAP Adjusted diluted
    EPS are Non-GAAP financial measures that have no standardized meaning
*   prescribed by U.S. GAAP and, therefore, have limits in their usefulness to
    investors. Because of the non-standardized definitions, Non-GAAP Adjusted
    income and its components and Non-GAAP Adjusted diluted EPS (unlike U.S.
    GAAP net income and its components and diluted EPS) may not be comparable
    to the calculation of similar measures of other companies. Non-GAAP
    Adjusted income and its components and Non-GAAP Adjusted diluted EPS are
    presented solely to permit investors to more fully understand how
    management assesses performance.

PFIZER INC.
BUSINESS REVENUES^(1)
TWELVE MONTHS 2012 AND 2011
(UNAUDITED)
(millions of dollars)
                                                     
                                                                   
                                                                   
                                                          Foreign
                        2012      2011    Change              Operational
                                                          Exchange
Primary Care          $  15,558  $  22,670  (31  %)       (1   %)  (30    %)
Specialty Care           14,151     15,245  (7   %)       (2   %)  (5     %)
Established              10,235     9,214   11   %        (2   %)  13     %
Products
Emerging Markets         9,960      9,295   7    %        (5   %)  12     %
Oncology                1,310     1,323   (1   %)    (3   %)  2      %
Biopharmaceutical        51,214     57,747  (11  %)       (2   %)  (9     %)
                                                                   
Animal Health            4,299      4,184   3    %        (3   %)  6      %
Consumer                 3,212      3,028   6    %        (2   %)  8      %
Healthcare
Other                   261       300     (13  %)    (1   %)  (12    %)
                                                                   
Total                 $  58,986  $  65,259  (10  %)    (2   %)  (8     %)
                                                                   
(1) For a description of each business unit, see Note 13A to Pfizer's
condensed consolidated
financial statements included in Pfizer's Form 10-Q for the fiscal quarter
ended September 30, 2012.

PFIZER INC.
ADJUSTED SELECTED COSTS AND EXPENSES
TWELVE MONTHS 2012 AND 2011
(UNAUDITED)
                                                        
                                                                      
                                                                      
($ in millions)                                           Foreign  
(Favorable)/Unfavorable   2012       2011       Change    Exchange Operational
Adjusted Cost of          $ 10,994   $ 12,034   (9  %)       (4   %)  (5     %)
Sales^(1)
As a Percent of             18.6   %   18.4   % N/A          N/A      N/A
Revenues
Adjusted SI&A               16,281     18,722   (13 %)       (2   %)  (11    %)
Expenses^(1)
Adjusted R&D               7,346    8,398   (13 %)    (1   %)  (12    %)
Expenses^(1)
                                                                      
Total                     $ 34,621  $ 39,154  (12 %)    (2   %)  (10    %)
                                                                      
                                                                      
(1) Adjusted cost of sales, Adjusted selling, informational and administrative
(SI&A)
expenses and Adjusted research and development (R&D) expenses are defined as the
corresponding
reported U.S. generally accepted accounting principles (GAAP) income statement
line items excluding
purchase accounting adjustments, acquisition-related costs, discontinued
operations and certain
significant items. Reconciliations of certain GAAP reported to non-GAAP adjusted
information for
the three and twelve months ended December 31, 2012 and 2011 are provided in the
materials
accompanying this report. These adjusted income statement line item measures are
not, and should
not be viewed as, substitutes for the corresponding U.S. GAAP line items.

PFIZER INC.

REVENUES

FOURTH-QUARTER 2012 and 2011

(UNAUDITED)

(millions of dollars)
                                                                                        
                                                                                          
                    WORLDWIDE                              UNITED STATES                TOTAL INTERNATIONAL^(a)
                                        % Change                          %                         % Change
                                                                                  Change
                    2012      2011      Total   Oper.   2012     2011     Total    2012     2011     Total   Oper.
TOTAL REVENUES       $ 15,068  $ 16,141  (7  %)  (5  %)  $ 5,783  $ 6,328  (9   %)  $ 9,285  $ 9,813  (5  %)  (3  %)
REVENUES FROM
BIOPHARMACEUTICAL    $ 12,893  $ 14,136  (9  %)  (7  %)  $ 4,809  $ 5,459  (12  %)  $ 8,084  $ 8,677  (7  %)  (4  %)
PRODUCTS:
Lyrica                  1,132      998      13  %   16  %      443       398     11   %      689       600     15  %   18  %
Lipitor^(b)             584        1,999    (71 %)   (70 %)     61        816     (93  %)     523       1,183   (56 %)   (55 %)
Enbrel (Outside the     957        925      3   %    8   %      -         -       -           957       925     3   %    8   %
U.S. and Canada)
Prevnar 13/Prevenar     993        834      19  %    22  %      464       395     17   %      529       439     21  %    25  %
13
Celebrex                750        667      12  %    13  %      479       418     15   %      271       249     9   %    11  %
Viagra                  553        523      6   %    6   %      313       271     15   %      240       252     (5  %)   (3  %)
Norvasc                 348        364      (4  %)   (3  %)     10        -       100  %      338       364     (7  %)   (7  %)
Zyvox                   349        318      10  %    12  %      175       154     14   %      174       164     6   %    11  %
Sutent                  323        317      2   %    5   %      82        89      (8   %)     241       228     6   %    10  %
Premarin family         276        256      8   %    8   %      253       232     9    %      23        24      (4  %)   1   %
Genotropin              213        235      (9  %)   (7  %)     54        61      (11  %)     159       174     (9  %)   (5  %)
Xalatan/Xalacom         189        290      (35 %)   (33 %)     8         17      (53  %)     181       273     (34 %)   (31 %)
BeneFIX                 198        175      13  %    15  %      86        78      10   %      112       97      15  %    19  %
Detrol/Detrol LA        185        215      (14 %)   (13 %)     124       135     (8   %)     61        80      (24 %)   (22 %)
Vfend                   211        189      12  %    16  %      25        22      14   %      186       167     11  %    18  %
Chantix/Champix         174        175      (1  %)   -          79        78      1    %      95        97      (2  %)   (2  %)
Pristiq                 169        155      9   %    9   %      128       126     2    %      41        29      41  %    37  %
Refacto AF/Xyntha       164        126      30  %    33  %      27        22      23   %      137       104     32  %    34  %
Zoloft                  143        153      (7  %)   (4  %)     19        17      12   %      124       136     (9  %)   (6  %)
Revatio                 120        142      (15 %)   (14 %)     62        83      (25  %)     58        59      (2  %)   1   %
Medrol                  135        127      6   %    8   %      35        36      (3   %)     100       91      10  %    13  %
Zosyn/Tazocin           106        146      (27 %)   (26 %)     42        77      (45  %)     64        69      (7  %)   (4  %)
Zithromax/Zmax          117        118      (1  %)   1   %      3         3       -           114       115     (1  %)   1   %
Effexor                 83         141      (41 %)   (40 %)     7         35      (80  %)     76        106     (28 %)   (27 %)
Prevnar/Prevenar        96         82       17  %    13  %      -         -       -           96        82      17  %    13  %
(7-valent)
Fragmin                 98         99       (1  %)   -          6         11      (45  %)     92        88      5   %    6   %
Relpax                  102        91       12  %    14  %      59        51      16   %      43        40      8   %    9   %
Rapamune                87         87       -        3   %      45        49      (8   %)     42        38      11  %    16  %
Cardura                 84         91       (8  %)   (6  %)     1         1       -           83        90      (8  %)   (7  %)
Tygacil                 86         74       16  %    17  %      37        36      3    %      49        38      29  %    33  %
Aricept^(c)             77         115      (33 %)   (33 %)     -         -       -           77        115     (33 %)   (33 %)
Xanax XR                71         74       (4  %)   -          12        11      9    %      59        63      (6  %)   (2  %)
BMP2                    71         63       13  %    12  %      71        63      13   %      -         -       -        -
Sulperazon              71         63       13  %    11  %      -         -       -           71        63      13  %    11  %
Diflucan                74         64       16  %    17  %      -         2       (100 %)     74        62      19  %    19  %
Caduet                  67         103      (35 %)   (35 %)     7         37      (81  %)     60        66      (9  %)   (9  %)
Neurontin               63         67       (6  %)   (5  %)     11        12      (8   %)     52        55      (5  %)   (6  %)
Dalacin/Cleocin         56         53       6   %    8   %      18        14      29   %      38        39      (3  %)   4   %
Unasyn                  63         59       7   %    8   %      -         2       (100 %)     63        57      11  %    11  %
Metaxalone/Skelaxin     74         58       28  %    29  %      74        58      28   %      -         -       -        -
Inspra                  58         53       9   %    12  %      1         1       -           57        52      10  %    12  %
Toviaz                  57         50       14  %    16  %      31        27      15   %      26        23      13  %    17  %
Somavert                55         50       10  %    14  %      13        12      8    %      42        38      11  %    15  %
Alliance                915        952      (4  %)   (3  %)     712       599     19   %      203       353     (42 %)   (42 %)
revenues^(d)
All other
biopharmaceutical       2,096      2,200    (5  %)   (2  %)     732       910     (20  %)     1,364     1,290   6   %    11  %
products^(e)
All other
established           1,565    1,464   7   %   9   %    532     496    7    %    1,033   968    7   %   11  %
products^(e)
REVENUES FROM OTHER PRODUCTS:
ANIMAL HEALTH         $ 1,171    $ 1,106    6   %    8   %    $ 482     $ 443     9    %    $ 689     $ 663     4   %    8   %
CONSUMER HEALTHCARE   $ 936      $ 810      16  %    17  %    $ 472     $ 403     17   %    $ 464     $ 407     14  %    16  %
OTHER^(f)            $ 68      $ 89      (24 %)  (23 %)  $ 20     $ 23     (13  %)  $ 48     $ 66     (27 %)  (28 %)
                                                                                                                         

      Total International represents Developed Europe region + Developed Rest
(a)  of World region + Emerging Markets region. Details for these regions are
      located on the following page.
      Lipitor lost exclusivity in the U.S. in November 2011 and various other
(b)   major markets in 2011 and 2012. This loss of exclusivity reduced branded
      worldwide revenues by $1.4 billion in the fourth quarter of 2012, in
      comparison with the fourth quarter of 2011.
(c)   Represents direct sales under license agreement with Eisai Co., Ltd.
(d)   Includes Enbrel (in the U.S. and Canada), Aricept, Exforge, Rebif and
      Spiriva.
(e)   Includes sales of generic atorvastatin. All other established products
      is a subset of All other biopharmaceutical products.
      Includes revenues generated primarily from Pfizer CentreSource, our
(f)   contract manufacturing and bulk pharmaceutical chemical sales
      organization.

Certain amounts and percentages may reflect rounding adjustments.

PFIZERINC.

REVENUES

DETAIL OF INTERNATIONAL REVENUES BY GEOGRAPHIC REGION

FOURTH-QUARTER 2012 and 2011

(UNAUDITED)

(millions of dollars)
                                                                                               
                                                                                                 
                    DEVELOPED EUROPE^(a)                  DEVELOPED REST OF WORLD^(b)          EMERGING MARKETS^(c)
                                      % Change                          % Change                         % Change     
                    2012     2011     Total    Oper.   2012     2011     Total   Oper.   2012     2011     Total   Oper.
TOTAL INTERNATIONAL  $ 3,350  $ 4,022  (17  %)  (13 %)  $ 2,724  $ 3,002  (9  %)  (9  %)  $ 3,211  $ 2,789  15  %   18  %
REVENUES
REVENUES FROM
BIOPHARMACEUTICAL    $ 2,984  $ 3,674  (19  %)  (15 %)  $ 2,448  $ 2,739  (11 %)  (10 %)  $ 2,652  $ 2,264  17  %   20  %
PRODUCTS -
INTERNATIONAL:
Lyrica                  364       324     12   %   18  %      217       188     15  %   16  %      108       88      23  %   25  %
Lipitor^(d)             107       596     (82  %)   (81 %)     201       360     (44 %)   (44 %)     215       227     (5  %)   (4  %)
Enbrel (Outside         627       629     -         4   %      104       133     (22 %)   (21 %)     226       163     39  %    45  %
Canada)
Prevnar 13/Prevenar     208       199     5    %    9   %      65        70      (7  %)   (7  %)     256       170     51  %    58  %
13
Celebrex                40        48      (17  %)   (10 %)     138       124     11  %    11  %      93        77      21  %    23  %
Viagra                  103       104     (1   %)   2   %      49        54      (9  %)   (9  %)     88        94      (6  %)   (5  %)
Norvasc                 28        38      (26  %)   (21 %)     171       198     (14 %)   (13 %)     139       128     9   %    8   %
Zyvox                   78        77      1    %    6   %      39        41      (5  %)   -          57        46      24  %    28  %
Sutent                  114       115     (1   %)   4   %      48        47      2   %    2   %      79        66      20  %    24  %
Premarin family         3         2       50   %    -          9         10      (10 %)   11  %      11        12      (8  %)   -
Genotropin              71        89      (20  %)   (17 %)     58        59      (2  %)   -          30        26      15  %    23  %
Xalatan/Xalacom         55        124     (56  %)   (52 %)     79        99      (20 %)   (19 %)     47        50      (6  %)   (2  %)
BeneFIX                 66        62      6    %    10  %      39        31      26  %    33  %      7         4       75  %    50  %
Detrol/Detrol LA        22        38      (42  %)   (39 %)     28        27      4   %    -          11        15      (27 %)   (14 %)
Vfend                   78        78      -         5   %      44        45      (2  %)   10  %      64        44      45  %    51  %
Chantix/Champix         35        41      (15  %)   (12 %)     47        46      2   %    -          13        10      30  %    18  %
Pristiq                 -         -       -         -          28        19      47  %    30  %      13        10      30  %    40  %
Refacto AF/Xyntha       99        95      4    %    7   %      20        8       150 %    122 %      18        1       *        *
Zoloft                  15        20      (25  %)   (20 %)     71        84      (15 %)   (13 %)     38        32      19  %    19  %
Revatio                 33        36      (8   %)   (3  %)     16        13      23  %    15  %      9         10      (10 %)   -
Medrol                  24        25      (4   %)   4   %      12        13      (8  %)   -          64        53      21  %    23  %
Zosyn/Tazocin           11        14      (21  %)   (14 %)     2         3       (33 %)   -          51        52      (2  %)   -
Zithromax/Zmax          14        19      (26  %)   (22 %)     52        53      (2  %)   (2  %)     48        43      12  %    14  %
Effexor                 26        40      (35  %)   (32 %)     22        41      (46 %)   (46 %)     28        25      12  %    16  %
Prevnar/Prevenar        -         1       (100 %)   -          88        81      9   %    12  %      8         -       100 %    60  %
(7-valent)
Fragmin                 47        46      2    %    7   %      26        20      30  %    10  %      19        22      (14 %)   (5  %)
Relpax                  20        20      -         11  %      17        16      6   %    6   %      6         4       50  %    50  %
Rapamune                15        15      -         7   %      5         5       -        -          22        18      22  %    26  %
Cardura                 25        25      -         -          32        39      (18 %)   (18 %)     26        26      -        -
Tygacil                 17        15      13   %    20  %      2         2       -        -          30        21      43  %    36  %
Aricept^(e)             17        58      (71  %)   (67 %)     51        45      13  %    9   %      9         12      (25 %)   (18 %)
Xanax XR                24        27      (11  %)   (7  %)     11        14      (21 %)   (8  %)     24        22      9   %    9   %
BMP2                    -         -       -         -          -         -       -        -          -         -       -        -
Sulperazon              -         -       -         -          9         10      (10 %)   (9  %)     62        53      17  %    15  %
Diflucan                13        21      (38  %)   (33 %)     11        12      (8  %)   (15 %)     50        29      72  %    72  %
Caduet                  4         5       (20  %)   (20 %)     41        46      (11 %)   (11 %)     15        15      -        7   %
Neurontin               13        18      (28  %)   (26 %)     14        15      (7  %)   (20 %)     25        22      14  %    14  %
Dalacin/Cleocin         9         9       -         -          5         8       (38 %)   (14 %)     24        22      9   %    9   %
Unasyn                  12        8       50   %    63  %      21        20      5   %    -          30        29      3   %    7   %
Metaxalone/Skelaxin     -         -       -         -          -         -       -        -          -         -       -        -
Inspra                  35        34      3    %    9   %      17        14      21  %    13  %      5         4       25  %    25  %
Toviaz                  22        19      16   %    21  %      1         1       -        -          3         3       -        50  %
Somavert                34        32      6    %    13  %      5         3       67  %    25  %      3         3       -        -
Alliance                38        103     (63  %)   (60 %)     151       228     (34 %)   (34 %)     14        22      (36 %)   (29 %)
revenues^(f)
All other
biopharmaceutical       418       405     3    %    9   %      382       394     (3  %)   2   %      564       491     15  %    19  %
products^(g)
All other
established           281     290    (3   %)  2   %    265     288    (8  %)  (7  %)   487     390    25  %   30  %
products^(g)
REVENUES FROM OTHER
PRODUCTS -           $ 366    $ 348    5    %   9   %   $ 276    $ 263    5   %   3   %   $ 559    $ 525    6   %   11  %
INTERNATIONAL:
                                                                                                                                

* Calculation not meaningful.
(a)  Developed Europe region includes the following markets: Western Europe,
      Finland and the Scandinavian countries.
(b)   Developed Rest of World region includes the following markets:
      Australia, Canada, Japan, New Zealand and South Korea.
      Emerging Markets region includes, but is not limited to, the following
(c)   markets: Asia (excluding Japan and South Korea), Latin America, Middle
      East, Africa, Central and Eastern Europe and Turkey.
      Lipitor lost exclusivity in various international markets in 2011 and
(d)   2012. This loss of exclusivity reduced branded international revenues by
      $636 million in the fourth quarter of 2012, in comparison with the
      fourth quarter of 2011.
(e)   Represents direct sales under license agreement with Eisai Co., Ltd.
(f)   Includes Enbrel (in Canada), Aricept, Exforge, Rebif and Spiriva.
(g)   Includes sales of generic atorvastatin. All other established products
      is a subset of All other biopharmaceutical products.

Certain amounts and percentages may reflect rounding adjustments.

<td class="bwpad*Story too large*
PFIZER INC.

REVENUES

TWELVE MONTHS 2012 and 2011

(UNAUDITED)

(millions of dollars)
                                                                                     
                                                                                         
                  WORLDWIDE                          UNITED STATES                 TOTAL INTERNATIONAL^(a)
                                       % Change                            %                          % Change
                                                                                  Change
                  2012       2011    Total   Oper.   2012       2011    Total   2012       2011    Total   Oper.
TOTAL REVENUES     $ 58,986  $ 65,259  (10 %)  (8  %)  $ 23,086  $ 26,933  (14 %)  $ 35,900  $ 38,326  (6  %)  (2  %)
REVENUES FROM
BIOPHARMACEUTICAL  $ 51,214  $ 57,747  (11 %)  (9  %)  $ 19,708  $ 23,707  (17 %)  $ 31,506  $ 34,040  (7  %)  (4  %)
PRODUCTS:
Lyrica                4,158      3,693    13  %    16  %      1,672      1,514    10  %      2,486      2,179    14  %   19  %
Lipitor^(b)           3,948      9,577    (59 %)   (58 %)     932        5,003    (81 %)     3,016      4,574    (34 %)   (33 %)
Enbrel (Outside
the U.S. and          3,737      3,666    2   %    8   %      -          -        -          3,737      3,666    2
Canada)

[TRUNCATED]