Third Quarter | First Nine Months | |||||||
Reported EPS |
$1.38 | $3.67 | ||||||
Tax benefit (1) |
($0.08 | ) | ($0.08 | ) | ||||
Litigation
charge (2) |
$ 0.11 | |||||||
Adjusted EPS |
$1.30 | $3.70 |
(1) | Represents the tax benefit relating to various tax settlements in multiple jurisdictions. | |
(2) | Represents the charge relating to the pending settlement with the direct purchaser plaintiffs (which includes BDs distributors) in the antitrust class actions. |
Reported EPS |
$ | 4.92 | ||
Tax benefit (1) |
($0.08 | ) | ||
Litigation charge (2) |
$ | 0.11 | ||
Adjusted EPS |
$ | 4.95 |
(1) | Represents the tax benefit relating to various tax settlements in multiple jurisdictions. | |
(2) | Represents the charge relating to the pending settlement with the direct purchaser plaintiffs (which includes BDs distributors) in the antitrust class actions. |
Second Quarter | ||||
Reported EPS |
$3.81 | |||
Tax charge (1) |
$0.04 | |||
Adjusted EPS |
$3.85 |
(1) | Represents impact of non-cash charge related to health care reform impacting Medicare Part D reimbursements. |
Q3 | Q3 FY2010 | Total | Foreign | Foreign | |||||||||||||||||||||||||||||||
Reported | Adjusted | FY2009 | impact of | unfavorable | currency | currency | |||||||||||||||||||||||||||||
Q3 | Q3 | Change | hedge | foreign currency | foreign currency | neutral | neutral | ||||||||||||||||||||||||||||
FY2010 | FY2009 | ($) | gain | translation | impact | growth ($) | growth (%) | ||||||||||||||||||||||||||||
EPS |
$ | 1.29 | $ | 1.30 | ($0.01 | ) | ($0.07 | ) | ($0.02 | ) | ($0.10 | ) | $ | 0.09 | 6.9 | % |
FY2009 | FY2010 | Total | Foreign | Foreign | |||||||||||||||||||||||||||||||||||||||
foreign | impact of | unfavorable | currency | currency | |||||||||||||||||||||||||||||||||||||||
currency | FY2009 | foreign | FY2010 | foreign | neutral | neutral | |||||||||||||||||||||||||||||||||||||
Change | holding | hedge | currency | hedge | currency | growth | growth | ||||||||||||||||||||||||||||||||||||
FY2010 | FY2009 | ($) | gain | gain | translation | loss | impact | ($) | (%) | ||||||||||||||||||||||||||||||||||
Adjusted EPS |
$ | 3.85 | $ | 3.70 | $ | 0.15 | ($0.09 | ) | ($0.23 | ) | $ | 0.16 | ($0.11 | ) | ($0.27 | ) | $ | 0.42 | 11.4 | % |
Estimated growth | ||||||||||||
(based on adjusted | Estimated foreign | |||||||||||
FY2009 EPS of | currency neutral | Impact of foreign | ||||||||||
$4.95) | growth | currency translation | ||||||||||
EPS guidance reported |
2-3 | % | 8 | % | - 5 | % | ||||||
Tax charge (1) |
1 | % | 1 | % | ||||||||
EPS guidance as
adjusted |
3-4 | % | 9 | % | - 5 | % |
(1) | Represents impact of non-cash charge related to health care reform impacting Medicare Part D reimbursements. | |
The FY2010 impact of -5% represents the year-on-year change due to estimated foreign currency translation, including hedging activities, as follows: |
FY2009 Items: |
||||
Actual hedge gain in FY2009 |
$ | (0.26 | ) | |
Q1 FY2009 foreign currency holding gain |
$ | (0.09 | ) | |
FY2010 Activity: * |
||||
Estimated favorable effect of foreign
currency translation |
$ | 0.15 | ||
Estimated hedge losses |
$ | (0.06 | ) | |
Total Year-on-Year Impact |
$ | (0.26 | ) | |
Impact on EPS Growth |
$ | (0.26)/$4.95 ~ - 5 | % |
* | Estimated impact is based on the foreign exchange rates established for BDs most recent fiscal year 2010 projection. |