Merck Announces New $15 Billion Share Repurchase Program

  Merck Announces New $15 Billion Share Repurchase Program

             Company’s expanded program now totals $16.1 billion

Business Wire

WHITEHOUSE STATION, N.J. -- May 1, 2013

Merck (NYSE: MRK), known as MSD outside the United States and Canada, today
announced that its board of directors has authorized additional purchases of
up to $15 billion of Merck’s common stock for its treasury. The company
expects to repurchase approximately $7.5 billion of common stock over the next
12 months, financed through a combination of debt issuance and operating cash
flows, with the remainder to be repurchased over time with no time limit.
Purchases may be made in open-market transactions, block transactions on or
off an exchange, or in privately negotiated transactions.

“This share repurchase program, combined with our strong dividend, reinforces
our continued commitment to delivering increased value to shareholders,” said
Kenneth C. Frazier, chairman and chief executive officer, Merck. “At the same
time, we remain committed to maintaining a strong balance sheet and financial
position that enables the company to invest in research and development and
other growth-oriented opportunities. This action also reflects the board’s
confidence in our long-term growth strategy and the company’s future
performance.”

In the first four months of 2013, Merck repurchased approximately 17.8 million
shares for a total of $772 million.  With today’s announcement, the company’s
total outstanding share repurchase authorization is now $16.1 billion, which
includes $1.1 billion in authorized repurchases remaining under the program
previously announced on April 27, 2011.

About Merck

Today's Merck is a global healthcare leader working to help the world be well.
Merck is known as MSD outside the United States and Canada. Through our
prescription medicines, vaccines, biologic therapies, and consumer care and
animal health products, we work with customers and operate in more than 140
countries to deliver innovative health solutions. We also demonstrate our
commitment to increasing access to healthcare through far-reaching policies,
programs and partnerships. For more information, visit www.merck.com and
connect with us on Twitter, Facebook and YouTube.

Forward-Looking Statement

This news release includes “forward-looking statements” within the meaning of
the safe harbor provisions of the United States Private Securities Litigation
Reform Act of 1995. These statements are based upon the current beliefs and
expectations of Merck’s management and are subject to significant risks and
uncertainties. If underlying assumptions prove inaccurate or risks or
uncertainties materialize, actual results may differ materially from those set
forth in the forward-looking statements.

Risks and uncertainties include but are not limited to, general industry
conditions and competition; general economic factors, including interest rate
and currency exchange rate fluctuations; the impact of pharmaceutical industry
regulation and health care legislation in the United States and
internationally; global trends toward health care cost containment;
technological advances, new products and patents attained by competitors;
challenges inherent in new product development, including obtaining regulatory
approval; Merck’s ability to accurately predict future market conditions;
manufacturing difficulties or delays; financial instability of international
economies and sovereign risk; dependence on the effectiveness of Merck’s
patents and other protections for innovative products; and the exposure to
litigation, including patent litigation, and/or regulatory actions.

Merck undertakes no obligation to publicly update any forward-looking
statement, whether as a result of new information, future events or otherwise.
Additional factors that could cause results to differ materially from those
described in the forward-looking statements can be found in Merck’s 2012
Annual Report on Form 10-K and the company’s other filings with the Securities
and Exchange Commission (SEC) available at the SEC’s Internet site
(www.sec.gov).

Contact:

Merck
Media Contact:
Steven Cragle, 908-423-3461
OR
Investor Contact:
Alex Kelly, 908-423-5185
 
Press spacebar to pause and continue. Press esc to stop.