• a total of 15 to 20 Phase III starts by the end of 2009 in disease areas ranging from cancer, to diabetes, to pain;
  
• to grow the number of Phase III programs by 50 to 75 percent, to at least 24 – and as many as 28 — by December 2009, up from 16 today; and
  
• 15-20 regulatory submissions between 2010 and 2012.

Pfizer announced that three key compounds expected to move to Phase III illustrate its commitment to finding innovative ways to address areas of high patient need: CP-751871, an IGF-1R inhibitor for the treatment of gastrointestinal, genitourinary, lung and breast cancer; CP-690550, our JAK-3 inhibitor for the treatment of rheumatoid arthritis, transplant rejection, psoriasis, Crohn’s disease, and asthma; and PF-734200, our DPP-IV inhibitor for the treatment of diabetes.

Pfizer has improved R&D productivity in the way it identifies the compounds most likely to succeed and has focused its resources on high-value areas. These high-value disease areas --including oncology, pain, diabetes/obesity, immunology/inflammation, schizophrenia and Alzheimer’s disease -- represent areas of significant unmet medical need and/or high market growth potential, and/or areas where Pfizer may be first or best in class. The Company is also accelerating clinical development on 20 programs in disease areas such as arthritis, cancer, pain and diabetes. It is also ending work on 24 clinical and preclinical programs so it can reinvest in high-value areas.

Pfizer continues to supplement its internal R&D efforts with the best external science to help deliver a high-value pipeline of new medicines. Through the execution of new business development deals, Pfizer added 7 clinical candidates, including 4 biologics, in 2007 in prioritized disease areas. The Company has expanded its venture capital activity and its early stage product investment strategy, including the establishment of the Biotherapeutics and Bioinnovation Center (BBC) based in California. The Company currently has 26 biologics spanning 8 therapeutic areas and has set the goal of becoming a top-tier biotherapeutics company.

Pfizer scientists described the Company’s strengths in researching and developing pain medicines, a $45 billion market with significant unmet medical need. They reviewed 13 programs across a spectrum of pain conditions, including 9 new molecular entities. This group includes three Phase III programs, valuable potential new indications for market-leaders Celebrex and Lyrica, and trials of S,S reboxetine for fibromyalgia. In addition, Pfizer’s nine pain compounds in development include the monoclonal antibody PF-4383119, and the p38 kinase inhibitor PH-797804, both designed to treat pain by regulating the inflammatory process.

Seizing Opportunities for Global Growth
“We see a range of promising growth opportunities over the next three to five years where we will take advantage of our global scale,” said Ian Read, president of Worldwide Pharmaceutical Operations. “We will run our business with much more flexibility as we continue to empower Pfizer colleagues closest to our customers.”

To advance these growth opportunities, the Company highlighted innovative commercial models that take advantage of its broad portfolio of medicines and its significant global footprint spanning R&D, manufacturing, sales and marketing to change the way it meets the needs of customers around the world.

Optimizing the Patent-Protected Portfolio. The company will continue its focus on delivering revenue from patent-protected medicines, seven of which are global market leaders in their disease areas. Revenues from certain in-line medicines including Geodon, Xalatan, Zyvox, and Vfend are growing at double-digit rates, and revenues from new medicines Chantix, Lyrica and Sutent more than doubled to $3.3 billion in 2007, versus $1.5 billion in 2006.

The Company is also establishing a new Business Unit focused solely on oncology in its Worldwide Pharmaceutical Group. This unit will bring together global oncology functions including clinical development, medical affairs, commercial development, sales and marketing. It will have the resources to seize growth opportunities to strengthen Pfizer’s research investment in oncology, a market expected to more than double in the next decade. The Oncology Business Unit will enable the Company to expedite launches of novel oncology agents, as well as to focus research efforts on cancers common in Asia, including those of the liver, esophagus and nasopharynx.

Seizing Growth Opportunities in Emerging Markets. Pfizer also announced plans to capture greater revenue in emerging markets in Latin America, Eastern Europe and Asia. The company will leverage its global scale and breadth of products to provide health solutions to the growing and untapped market of middle-income patients living in these markets.

The Company pointed out four drivers that will help it expand in the $47 billion emerging Asian pharmaceutical market. Pfizer expects to reinforce its market leadership, increasing market share to 6% by 2012, up from 4% today. These drivers include expanding its existing presence in high growth markets, building leadership in oncology, tailoring portfolio offerings to local market needs and taking greater advantage of global manufacturing and R&D in Asia.

For example, Pfizer plans to expand operations in China from the 110 cities it now serves to more than 650 cities. Growing established products (medicines that have lost or will soon lose patent protection), launching new products and reaching more patients will enable Pfizer to continue to capitalize on its strong base in China, a country expected to be one of the world’s top five healthcare markets as early as 2010.

Forming Dedicated Business Unit for Established Products. The Company recently formed an Established Products Business Unit within Worldwide Pharmaceutical Operations, with the goal of achieving double-digit growth in the global market for established medicines. The newly formed unit will execute growth strategies tailored to the unique needs of branded emerging markets (such as China, India, Brazil and Russia), branded traditional markets (such as Japan, Western Europe and South Korea), and intellectual-property-driven markets (such as the United States and Canada).

The Company expects to increase market share by leveraging its existing portfolio through product enhancements and reformulations, pursuing new indications for niche markets, and intensifying late-stage lifecycle plans for its established medicines.

“By pursuing growth strategies in the right geographies, with the right products and business models, we will drive change, seize opportunities and create value for customers,” said Read. “We are meaningfully diversifying our risk, which will be a significant advantage to us as we compete in this fast-changing marketplace.”