UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549

FORM 8-K

CURRENT REPORT
Pursuant to Section 13 OR 15(d) of The Securities Exchange Act Of 1934
Date of Report (Date of earliest event reported): October 24, 2014

BRISTOL-MYERS SQUIBB COMPANY
(Exact Name of Registrant as Specified in its Charter)

 

					
 	 	 	 	 	
Delaware	 	1-1136	 	22-0790350	
(State or Other
Jurisdiction of
Incorporation)	 	(Commission File
Number)	 	(IRS Employer
Identification
Number)	
345 Park Avenue
New York, NY 10154
(Address of Principal Executive Office)
Registrant’s telephone number, including area code: (212) 546-4000
Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions ( see General Instruction A.2. below):

	
		
¨	Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)	

	
		
¨	Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)	

	
		
¨	Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))	

	
		
¨	Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))	

 

	
	
Item 2.02. Results of Operations and Financial Condition.	

On October 24, 2014, Bristol-Myers Squibb Company (the “Company”) issued a press release announcing its financial results for the third quarter of 2014. A copy of the press release is furnished as Exhibit 99.1 to this report and incorporated herein by reference. Also furnished and incorporated by reference as Exhibit 99.2 is certain supplemental information posted on the Company’s website at www.bms.com .

	
	
Item 9.01. Financial Statements and Exhibits.	

(d) Exhibits.

		
 	 	
99.1	Press release of Bristol-Myers Squibb Company dated October 24, 2014.	
 	 	
99.2	Certain supplemental information posted on Bristol-Myers Squibb Company’s website at www.bms.com  not included in the press release.	

SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the Registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.

	
						
 	 	BRISTOL-MYERS SQUIBB COMPANY	 	
 	 	 	 	
Dated: October 24, 2014	 	By:	 	/s/ Sandra Leung	 	
 	 	Name:	 	Sandra Leung	 	
 	 	Title:	 	General Counsel and Corporate Secretary	 	

EXHIBIT INDEX

	

Exhibit No.	Description	
 	 	
99.1	Press release of Bristol-Myers Squibb Company dated October 24, 2014.	
 	 	
99.2	Certain supplemental information posted on Bristol-Myers Squibb Company’s website at www.bms.com  not included in the press release.	

Exhibit 99.1

Bristol-Myers Squibb Reports Third Quarter 2014 Financial Results

•	Posts Third Quarter GAAP EPS of $0.43 and Non-GAAP EPS of $0.45	
		
•	Achieves Significant Regulatory Milestones for PD-1 Inhibitor Opdivo	
		
•	Launches Daklinza -Based Regimens for HCV Patients in Japan and Europe	
		
•	Adjusts 2014 GAAP EPS Guidance Range to $1.15 - $1.25 and Confirms Non-GAAP EPS Guidance Range of $1.70 - $1.80	

NEW YORK (October 24, 2014) - Bristol-Myers Squibb Company (NYSE:BMY) today reported strong financial results for the third quarter of 2014, adjusted 2014 GAAP guidance and confirmed 2014 non-GAAP guidance. The quarter was highlighted by strong performance by key brands, significant data and regulatory milestones for Opdivo , the launch of the company’s hepatitis C regimens in Japan and Europe and the completion of several business development transactions supporting the company’s oncology portfolio.

“Our financial results in the third quarter reflect our continued focus on balancing long-term growth with short-term performance, as we achieved significant progress in our pipeline and saw strong in-market performance for key products including Eliquis,Yervoy, Sprycel and Orencia ,” said Lamberto Andreotti, chief executive officer, Bristol-Myers Squibb. “We continue to build a solid foundation for our future as a Diversified Specialty BioPharma by advancing our own R&D efforts and investing in strategic business development to build a sustainable pipeline.”

	
											
 	Third Quarter	
$ amounts in millions, except per share amounts	 	 	 	 	 	
 	2014	 	2013	 	Change	
Total Revenues	$	3,921		 	$	4,065		 	(4	)%	
GAAP Diluted EPS	0.43		 	0.42		 	2	 %	
Non-GAAP Diluted EPS	0.45		 	0.46		 	(2	)%	

1

THIRD QUARTER FINANCIAL RESULTS
		
•	Bristol-Myers Squibb posted third quarter 2014 revenues of $3.9 billion, a decrease of 4% compared to the same period a year ago. Excluding the divested Diabetes Alliance, global revenues increased 7%.	

•	U.S. revenues decreased 3% to $2.0 billion in the quarter compared to the same period a year ago. International revenues decreased 4%.	

•	Gross margin as a percentage of revenues was 74.3% in the quarter compared to 71.1% in the same period a year ago.	

•	Marketing, selling and administrative expenses increased 5% to $1.0 billion in the quarter.	

•	Advertising and product promotion spending decreased 12% to $171 million in the quarter.	

•	Research and development expenses increased 10% to $983 million in the quarter.	

•	The effective tax rate on earnings before income taxes was 27.4% in the quarter, compared to 15.4% in the third quarter last year.	

•	The company reported net earnings attributable to Bristol-Myers Squibb of $721 million, or $0.43 per share, in the quarter compared to $692 million, or $0.42 per share, a year ago.	

•	The company reported non-GAAP net earnings attributable to Bristol-Myers Squibb of $750 million, or $0.45 per share, in the third quarter, compared to $768 million, or $0.46 per share, for the same period in 2013. Among other specified items, the non-GAAP earnings in the current period exclude a $0.07 per share impact of additional charges related to the Branded Prescription Drug Fee resulting from the issuance of final rules by the IRS. An overview of specified items is discussed under the “Use of Non-GAAP Financial Information” section.	

•	Cash, cash equivalents and marketable securities were $11.5 billion, with a net cash position of $3.9 billion, as of September 30, 2014.	

2

THIRD QUARTER PRODUCT AND PIPELINE UPDATE

Bristol-Myers Squibb’s global sales in the third quarter included Eliquis , which grew by $175 million, Yervoy , which grew 47%, Sprycel , which grew 22%, Orencia , which grew 18%, and Daklinza and Sunvepra , which had combined sales of $49 million.

Opdivo

•	In September, the company announced multiple regulatory milestones for Opdivo (nivolumab), an investigational PD-1 immune checkpoint inhibitor, in the U.S. and European Union (EU): 	

◦	In the U.S., the Food and Drug Administration (FDA) has accepted for priority review the Biologics License Application for previously treated advanced melanoma and set a Prescription Drug User Fee Act decision goal date of March 30, 2015. The FDA granted Opdivo Breakthrough Therapy designation for this indication. Bristol-Myers Squibb has proposed the name  Opdivo , which, if approved by health authorities, will serve as the trademark for nivolumab.  	

◦	In the EU, the European Medicines Agency (EMA) has validated for review the Marketing Authorization Applications for nivolumab in non-small cell lung cancer - the first completed regulatory submission for a PD-1 immune checkpoint inhibitor in this tumor type - and in advanced melanoma. The application for advanced melanoma was granted accelerated assessment by the EMA’s Committee for Medicinal Products for Human Use.	

•	Also in September, at the European Society for Medical Oncology Congress in Madrid, the company announced positive results from CheckMate -037, a Phase III randomized, controlled open-label study of Opdivo versus investigator’s choice chemotherapy (ICC) in patients with advanced melanoma who were previously treated with Yervoy. Based on a planned interim analysis of the co-primary endpoint, the objective response rate was 32% (95% CI = 24, 41) in the Opdivo arm (n=120) and 11% (95% CI = 4, 23) in the ICC reference arm (n=47) in patients with at least six months of follow up. The majority (95%) of responses were ongoing in the Opdivo arm and the median duration of response was not reached.	

3

Eliquis

•	In August, the company and its partner, Pfizer, announced that the FDA approved a Supplemental New Drug Application for Eliquis for the treatment of deep vein thrombosis (DVT) and pulmonary embolism (PE), and for the reduction in the risk of recurrent DVT and PE following initial therapy.	

•	In July, the company and its partner, Pfizer, announced that the European Commission (EC) approved Eliquis for the treatment of DVT and PE, and the prevention of DVT and PE in adults. The approval applies to all EU member states as well as Iceland and Norway.	

•	In August, at the European Society of Cardiology Congress in Barcelona, Spain, the company and its partner, Pfizer, announced results of a pre-specified secondary analysis of the Eliquis Phas e III AMPLIFY-EXT trial. The analysis evaluated clinical and demographic predictors of all-cause hospitalization in patients with VTE. Results from this analysis demonstrated that during the 12-month extended treatment of VTE, Eliquis significantly reduced the risk of hospitalization versus placebo. This effect was independent of other variables including renal function, the only other significant predictor of hospitalization in the AMPLIFY-EXT population.	

Daklinza

•	In August, the company announced that the EC approved Daklinza (daclatasvir), a potent, pan-genotypic NS5A replication complex inhibitor (in vitro), for use in combination with other medicinal products across genotypes 1, 2, 3 and 4 for the treatment of chronic hepatitis C virus (HCV) infection in adults. The approval allows for the marketing of Daklinza in all 28 EU member states.	

Asunaprevir

•	In October, the company announced that it will not pursue FDA approval of the dual regimen of daclatasvir and asunaprevir for the treatment of HCV genotype 1b patients in the U.S. and has withdrawn its New Drug Application for asunaprevir, an NS3/4A protease inhibitor. The company will continue to pursue FDA approval for daclatasvir, which is currently being investigated globally in multiple treatment regimens for HCV patients with high unmet needs.	

4

Sustiva
		
•	In October, the company announced that it has successfully resolved all outstanding U.S. patent litigation relating to efavirenz, an active ingredient contained in our Sustiva (efavirenz) and Atripla (efavirenz/emtricitabine/tenofovir disoproxil fumarate) products, and that loss of patent exclusivity in the U.S. for efavirenz is not expected to occur until December 2017.	

THIRD QUARTER FINANCIAL UPDATE

In September, the company announced that it will settle $1.4 billion in pension obligations through the purchase of a group annuity contract from The Prudential Insurance Company of America (Prudential) for approximately 8,000 U.S. retirees and their beneficiaries who started receiving their monthly retirement benefit payments on or before June 1, 2014. The transaction reduces risk in the retirement plan and better manages the ongoing variations in cost associated with its maintenance while entrusting current retirees and their beneficiaries’ pensions to a financial institution with expertise in the long-term management of retirement benefits. The transaction with Prudential is expected to occur in December 2014 and is subject to satisfaction of closing conditions.

THIRD QUARTER BUSINESS DEVELOPMENT UPDATE

•	In October, the company announced a clinical trial collaboration agreement with Janssen and Pharmacyclics to evaluate the safety, tolerability and preliminary efficacy of Opdivo in combination with Janssen and Pharmacyclics’ oral Bruton's tyrosine kinase inhibitor Imbruvica ® (ibrutinib) to treat patients with non-Hodgkin lymphoma.	

•	In October, the company and The University of Texas MD Anderson Cancer Center announced a clinical research collaboration to evaluate Yervoy, Opdivo and three early-stage clinical immuno-oncology assets as potential treatment options for acute and chronic leukemia as well as other hematologic malignancies.	

5

		
•	In October, the company announced a clinical trial collaboration with Novartis to evaluate the safety, tolerability and preliminary efficacy of combining Opdivo with three molecularly targeted oncology therapies from Novartis - Zykadia ™ (ceritinib), INC280 and EGF816 - to treat non-small cell lung cancer.	

•	In August, the company and Celgene Corporation announced the establishment of a clinical trial collaboration to evaluate the safety, tolerability and preliminary efficacy of a combination regimen of Opdivo and Celgene’s nab ® technology-based chemotherapy Abraxane ® (paclitaxel protein-bound particles for injectable suspension) (albumin-bound) in a Phase I study. Multiple tumor types will be explored in the study.	

•	In August, the company and Allied Minds announced the formation of Allied-Bristol Life Sciences LLC, a new jointly owned enterprise created to identify and foster research and pre-clinical development of biopharmaceutical innovations from leading university research institutions across the U.S. The new enterprise will focus on converting discoveries from university research institutions into therapeutic candidates for clinical development and, ultimately, approved therapies that address serious diseases.	

Abraxane ® and nab ® are trademarks of Abraxis BioScience LLC, a wholly owned subsidiary of Celgene Corporation.
Imbruvica ® is a trademark of Pharmacyclics, Inc.
Zykadia ™ is a trademark of Novartis AG.

2014 FINANCIAL GUIDANCE

Bristol-Myers Squibb is adjusting its 2014 GAAP EPS guidance range to $1.15 - $1.25 from $1.50 - $1.60 and confirming its non-GAAP EPS guidance range of $1.70 - $1.80. Both GAAP and non-GAAP guidance assume current exchange rates and that the R&D tax credit will be extended by Congress in 2014. Key 2014 non-GAAP guidance assumptions include:

• Worldwide revenues between $15.2 billion and $15.8 billion.
• Full-year gross margin as a percentage of revenues between 75% and 76%.
• Advertising and promotion expense decreasing in the mid-teen-digit range.
• Marketing, sales and administrative expenses decreasing in the mid-single-digit range.

6

• Research and development expenses growing in the mid-single-digit range.
• An effective tax rate of 19% - 20%.

The financial guidance for 2014 excludes the impact of any potential future strategic acquisitions and divestitures, and any specified items that have not yet been identified and quantified. The non-GAAP 2014 guidance also excludes other specified items as discussed under “Use of Non-GAAP Financial Information.” Details reconciling adjusted non-GAAP amounts with the amounts reflecting specified items are provided in supplemental materials available on the company’s website.

Use of Non-GAAP Financial Information
This press release contains non-GAAP financial measures, including non-GAAP earnings and related earnings per share information. These measures are adjusted to exclude certain costs, expenses, significant gains and losses and other specified items. Among the items in GAAP measures but excluded for purposes of determining adjusted earnings and other adjusted measures are: restructuring and other exit costs; accelerated depreciation charges; IPRD and asset impairments; charges and recoveries relating to significant legal proceedings; upfront, milestone and other payments for in-licensing of products that have not achieved regulatory approval which are immediately expensed; net amortization of acquired intangible assets and deferred income related to Amylin; pension settlement charges ; significant tax events and additional charges related to the Branded Prescription Drug Fee. This information is intended to enhance an investor’s overall understanding of the company’s past financial performance and prospects for the future. Non-GAAP financial measures provide the company and its investors with an indication of the company’s baseline performance before items that are considered by the company not to be reflective of the company’s ongoing results. The company uses non-GAAP gross profit, non-GAAP marketing, selling and administrative expense, non-GAAP research and development expense, and non-GAAP other income and expense measures to set internal budgets, manage costs, allocate resources, and plan and forecast future periods. Non-GAAP effective tax rate measures are primarily used to plan and forecast future periods. Non-GAAP earnings and earnings per share measures are primary indicators the company uses as a basis for evaluating company performance, setting incentive compensation targets, and planning and forecasting of future periods. This information is not intended to be considered in isolation or as a substitute for financial measures prepared in accordance with GAAP.

Statement on Cautionary Factors
This press release contains certain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995 regarding, among other things, statements relating to goals, plans and projections regarding the company’s financial position, results of operations, market position, product development and business strategy. These statements may be identified by the fact that they use words such as "anticipate", "estimates", "should", "expect", "guidance", "project", "intend", "plan", "believe" and other words and terms of similar meaning in connection with any discussion of future operating or financial performance.

7

Such forward-looking statements are based on current expectations and involve inherent risks and uncertainties, including factors that could delay, divert or change any of them, and could cause actual outcomes and results to differ materially from current expectations. These factors include, among other things, effects of the continuing implementation of governmental laws and regulations related to Medicare, Medicaid, Medicaid managed care organizations and entities under the Public Health Service 340B program, pharmaceutical rebates and reimbursement, market factors, competitive product development and approvals, pricing controls and pressures (including changes in rules and practices of managed care groups and institutional and governmental purchasers), economic conditions such as interest rate and currency exchange rate fluctuations, judicial decisions, claims and concerns that may arise regarding the safety and efficacy of in-line products and product candidates, changes to wholesaler inventory levels, variability in data provided by third parties, changes in, and interpretation of, governmental regulations and legislation affecting domestic or foreign operations, including tax obligations, changes to business or tax planning strategies which take into account assumptions about the continued extension of the R&D tax credit, difficulties and delays in product development, manufacturing or sales including any potential future recalls, patent positions and the ultimate outcome of any litigation matter. These factors also include the company’s ability to execute successfully its strategic plans, including its business strategy, the expiration of patents or data protection on certain products, including assumptions about the company’s ability to retain patent exclusivity of certain products, and the impact and result of governmental investigations. There can be no guarantees with respect to pipeline products that future clinical studies will support the data described in this release, that the compounds will receive necessary regulatory approvals, or that they will prove to be commercially successful; nor are there guarantees that regulatory approvals will be sought, or sought within currently expected timeframes, or that contractual milestones will be achieved. For further details and a discussion of these and other risks and uncertainties, see the company's periodic reports, including the annual report on Form 10-K, quarterly reports on Form 10-Q and current reports on Form 8-K, filed with or furnished to the Securities and Exchange Commission. The company undertakes no obligation to publicly update any forward-looking statement, whether as a result of new information, future events or otherwise.

Company and Conference Call Information

Bristol-Myers Squibb is a global biopharmaceutical company whose mission is to discover, develop and deliver innovative medicines that help patients prevail over serious diseases. For more information, please visit www.bms.com or follow us on Twitter at http://twitter.com/bmsnews.
There will be a conference call on October 24, 2014, at 10:30 a.m. EDT during which company executives will review financial information and address inquiries from investors and analysts. Investors and the general public are invited to listen to a live webcast of the call at http://investor.bms.com or by dialing 913-312-0964, confirmation code: 1193919. Materials related to the call will be available at the same website prior to the conference call.
For more information, contact: Laura Hortas, 609-252-4587, laura.hortas@bms.com, Communications; John Elicker, 609-252-4611, john.elicker@bms.com, Ranya Dajani, 609-252-5330, ranya.dajani@bms.com, or Ryan Asay, 609-252-5020, ryan.asay@bms.com, Investor Relations.

8

BRISTOL-MYERS SQUIBB COMPANY
SELECTED PRODUCTS
FOR THE THREE MONTHS ENDED SEPTEMBER 30, 2014 AND 2013
(Unaudited, dollars in millions)

																							
 	 	Worldwide Revenues	 	U.S. Revenues	
 	 	2014	 	2013	 	%
Change	 	2014	 	2013	 	%
Change	
Three Months Ended September 30,	 	 	 	 	 	 	 	 	 	 	 	 	
Key Products	 	 	 	 	 	 	 	 	 	 	 	 	
Virology	 	 	 	 	 	 	 	 	 	 	 	 	
Baraclude	 	$	325		 	$	378		 	(14	)%	 	$	40		 	$	67		 	(40	)%	
Hepatitis C Franchise	 	49		 	—		 	N/A		 	—		 	—		 	N/A		
Reyataz	 	338		 	375		 	(10	)%	 	169		 	189		 	(11	)%	
Sustiva Franchise	 	357		 	389		 	(8	)%	 	284		 	259		 	10	 %	
Oncology	 	 	 	 	 	 	 	 	 	 	 	 	
Erbitux (a)	 	187		 	183		 	2	 %	 	175		 	180		 	(3	)%	
Opdivo	 	1		 	—		 	N/A		 	—		 	—		 	N/A		
Sprycel	 	385		 	316		 	22	 %	 	179		 	134		 	34	 %	
Yervoy	 	350		 	238		 	47	 %	 	191		 	130		 	47	 %	
Neuroscience	 	 	 	 	 	 	 	 	 	 	 	 	
Abilify (b)	 	449		 	569		 	(21	)%	 	407		 	378		 	8	 %	
Immunoscience	 	 	 	 	 	 	 	 	 	 	 	 	
Orencia	 	444		 	375		 	18	 %	 	292		 	246		 	19	 %	
Cardiovascular	 	 	 	 	 	 	 	 	 	 	 	 	
Eliquis	 	216		 	41		 	**		 	113		 	27		 	**		
 	 	 	 	 	 	 	 	 	 	 	 	 	
Diabetes Alliance	 	42		 	432		 	(90	)%	 	—		 	308		 	(100	)%	
 	 	 	 	 	 	 	 	 	 	 	 	 	
Mature Products and All Other	 	778		 	769		 	1	 %	 	118		 	119		 	(1	)%	
 	 	 	 	 	 	 	 	 	 	 	 	 	
Total	 	3,921		 	4,065		 	(4	)%	 	1,968		 	2,037		 	(3	)%	
 	 	 	 	 	 	 	 	 	 	 	 	 	
Total Excluding Diabetes Alliance	 	3,879		 	3,633		 	7	 %	 	1,968		 	1,729		 	14	 %	

	
		
**	In excess of 100%	
 	 	
(a)	Erbitux  is a trademark of ImClone LLC. ImClone LLC is a wholly-owned subsidiary of Eli Lilly and Company.	
(b)	Abilify  is a trademark of Otsuka Pharmaceutical Co., Ltd.	

9

BRISTOL-MYERS SQUIBB COMPANY
SELECTED PRODUCTS
FOR THE NINE MONTHS ENDED SEPTEMBER 30, 2014 AND 2013
(Unaudited, dollars in millions)

																							
 	 	Worldwide Revenues	 	U.S. Revenues	
 	 	2014	 	2013	 	%
Change	 	2014	 	2013	 	%
Change	
Nine Months Ended September 30,	 	 	 	 	 	 	 	 	 	 	 	 	
Key Products	 	 	 	 	 	 	 	 	 	 	 	 	
Virology	 	 	 	 	 	 	 	 	 	 	 	 	
Baraclude	 	$	1,100		 	$	1,115		 	(1	)%	 	$	194		 	$	208		 	(7	)%	
Hepatitis C Franchise	 	49		 	—		 	N/A		 	—		 	—		 	N/A		
Reyataz	 	1,044		 	1,167		 	(11	)%	 	513		 	582		 	(12	)%	
Sustiva Franchise	 	1,037		 	1,187		 	(13	)%	 	778		 	785		 	(1	)%	
Oncology	 	 	 	 	 	 	 	 	 	 	 	 	
Erbitux	 	542		 	516		 	5	 %	 	511		 	506		 	1	 %	
Opdivo	 	1		 	—		 	N/A		 	—		 	—		 	N/A		
Sprycel	 	1,095		 	915		 	20	 %	 	487		 	384		 	27	 %	
Yervoy	 	942		 	700		 	35	 %	 	510		 	429		 	19	 %	
Neuroscience	 	 	 	 	 	 	 	 	 	 	 	 	
Abilify	 	1,544		 	1,654		 	(7	)%	 	1,149		 	1,084		 	6	 %	
Immunoscience	 	 	 	 	 	 	 	 	 	 	 	 	
Orencia	 	1,209		 	1,047		 	15	 %	 	775		 	698		 	11	 %	
Cardiovascular	 	 	 	 	 	 	 	 	 	 	 	 	
Eliquis	 	493		 	75		 	**		 	268		 	49		 	**		
 	 	 	 	 	 	 	 	 	 	 	 	 	
Diabetes Alliance	 	248		 	1,228		 	(80	)%	 	114		 	920		 	(88	)%	
 	 	 	 	 	 	 	 	 	 	 	 	 	
Mature Products and All Other	 	2,317		 	2,340		 	(1	)%	 	335		 	408		 	(18	)%	
 	 	 	 	 	 	 	 	 	 	 	 	 	
Total	 	11,621		 	11,944		 	(3	)%	 	5,634		 	6,053		 	(7	)%	
 	 	 	 	 	 	 	 	 	 	 	 	 	
Total Excluding Diabetes Alliance	 	11,373		 	10,716		 	6	 %	 	5,520		 	5,133		 	8	 %	

	
		
**	In excess of 100%	

10

BRISTOL-MYERS SQUIBB COMPANY
CONSOLIDATED STATEMENTS OF EARNINGS
FOR THE THREE AND NINE MONTHS ENDED SEPTEMBER 30, 2014 AND 2013
(Unaudited, dollars and shares in millions except per share data)

	
																	
 	 	Three Months Ended September 30,	 	Nine Months Ended September 30,	
 	 	2014	 	2013	 	2014	 	2013	
Net product sales	 	$	2,843		 	$	3,025		 	$	8,420		 	$	9,006		
Alliance and other revenues	 	1,078		 	1,040		 	3,201		 	2,938		
Total Revenues	 	3,921		 	4,065		 	11,621		 	11,944		
 	 	 	 	 	 	 	 	 	
Cost of products sold	 	1,007		 	1,175		 	2,966		 	3,346		
Marketing, selling and administrative	 	1,029		 	980		 	2,937		 	3,016		
Advertising and product promotion	 	171		 	194		 	521		 	601		
Research and development	 	983		 	893		 	3,345		 	2,774		
Other (income)/expense	 	(277	)	 	5		 	(589	)	 	185		
Total Expenses	 	2,913		 	3,247		 	9,180		 	9,922		
 	 	 	 	 	 	 	 	 	
Earnings Before Income Taxes	 	1,008		 	818		 	2,441		 	2,022		
Provision for Income Taxes	 	276		 	126		 	439		 	177		
 	 	 	 	 	 	 	 	 	
Net Earnings	 	732		 	692		 	2,002		 	1,845		
Net Earnings Attributable to Noncontrolling Interest	 	11		 	—		 	11		 	8		
Net Earnings Attributable to BMS	 	$	721		 	$	692		 	$	1,991		 	$	1,837		
 	 	 	 	 	 	 	 	 	
Earnings per Common Share	 	 	 	 	 	 	 	 	
Basic	 	$	0.43		 	$	0.42		 	$	1.20		 	$	1.12		
Diluted	 	$	0.43		 	$	0.42		 	$	1.19		 	$	1.11		
 	 	 	 	 	 	 	 	 	
Average Common Shares Outstanding:	 	 	 	 	 	 	 	 	
Basic	 	1,658		 	1,646		 	1,656		 	1,643		
Diluted	 	1,670		 	1,662		 	1,668		 	1,659		
 	 	 	 	 	 	 	 	 	
Other (Income)/Expense	 	 	 	 	 	 	 	 	
 	 	 	 	 	 	 	 	 	
Interest expense	 	$	50		 	$	46		 	$	150		 	$	146		
Investment income	 	(20	)	 	(23	)	 	(71	)	 	(76	)	
Provision for restructuring	 	35		 	6		 	72		 	212		
Litigation charges/(recoveries)	 	10		 	17		 	19		 	(5	)	
Equity in net income of affiliates	 	(12	)	 	(42	)	 	(81	)	 	(128	)	
Out-licensed intangible asset impairment	 	18		 	—		 	18		 	—		
Gain on sale of product lines, businesses and assets	 	(315	)	 	—		 	(567	)	 	(1	)	
Other alliance and licensing income	 	(102	)	 	(31	)	 	(354	)	 	(120	)	
Pension curtailments, settlements and special termination benefits	 	28		 	37		 	137		 	138		
Other	 	31		 	(5	)	 	88		 	19		
Other (income)/expense	 	$	(277	)	 	$	5		 	$	(589	)	 	$	185		

11

BRISTOL-MYERS SQUIBB COMPANY
SPECIFIED ITEMS
FOR THE THREE AND NINE MONTHS ENDED SEPTEMBER 30, 2014 AND 2013
(Unaudited, dollars in millions)

	
																	
 	 	Three Months Ended September 30,	 	Nine Months Ended September 30,	
 	 	2014	 	2013	 	2014	 	2013	
Accelerated depreciation, asset impairment and other shutdown costs	 	$	36		 	$	—		 	$	120		 	$	—		
Amortization of acquired Amylin intangible assets	 	—		 	137		 	—		 	412		
Amortization of Amylin alliance proceeds	 	—		 	(68	)	 	—		 	(202	)	
Amortization of Amylin inventory adjustment	 	—		 	—		 	—		 	14		
Cost of products sold	 	36		 	69		 	120		 	224		
 	 	 	 	 	 	 	 	 	
Additional year of Branded Prescription Drug Fee	 	96		 	—		 	96		 	—		
Process standardization implementation costs	 	2		 	4		 	8		 	6		
Marketing, selling and administrative	 	98		 	4		 	104		 	6		
 	 	 	 	 	 	 	 	 	
Upfront, milestone and other payments	 	65		 	—		 	228		 	—		
IPRD impairments	 	—		 	—		 	343		 	—		
Research and development	 	65		 	—		 	571		 	—		
 	 	 	 	 	 	 	 	 	
Provision for restructuring	 	35		 	6		 	72		 	212		
Gain on sale of product lines, businesses and assets	 	(315	)	 	—		 	(562	)	 	—		
Pension curtailments, settlements and special termination benefits	 	28		 	37		 	137		 	136		
Acquisition and alliance related items (a)	 	39		 	—		 	72		 	(10	)	
Litigation charges/(recoveries)	 	10		 	—		 	12		 	(23	)	
Loss on debt redemption	 	—		 	—		 	45		 	—		
Upfront, milestone and other licensing receipts	 	—		 	—		 	—		 	(14	)	
Other (income)/expense	 	(203	)	 	43		 	(224	)	 	301		
 	 	 	 	 	 	 	 	 	
Increase/(decrease) to pretax income	 	(4	)	 	116		 	571		 	531		
Income tax on items above	 	33		 	(40	)	 	(248	)	 	(191	)	
Increase to net earnings	 	$	29		 	$	76		 	$	323		 	$	340		

	
	
(a) Includes $16 million of additional year of Branded Prescription Drug Fee.	

12

BRISTOL-MYERS SQUIBB COMPANY
RECONCILIATION OF CERTAIN NON-GAAP LINE ITEMS TO CERTAIN GAAP LINE ITEMS
FOR THE THREE MONTHS ENDED SEPTEMBER 30, 2014 AND 2013
(Unaudited, dollars in millions)

	
													
Three Months Ended September 30, 2014	 	GAAP	 	Specified
Items*	 	Non
GAAP	
Gross Profit	 	$	2,914		 	$	36		 	$	2,950		
Marketing, selling and administrative	 	1,029		 	(98	)	 	931		
Research and development	 	983		 	(65	)	 	918		
Other (income)/expense	 	(277	)	 	203		 	(74	)	
Effective Tax Rate	 	27.4	%	 	(3.2	)%	 	24.2	%	
 	 	 	 	 	 	 	
Three Months Ended September 30, 2013	 	GAAP	 	Specified
Items*	 	Non
GAAP	
Gross Profit	 	$	2,890		 	$	69		 	$	2,959		
Marketing, selling and administrative	 	980		 	(4	)	 	976		
Research and development	 	893		 	—		 	893		
Other (income)/expense	 	5		 	(43	)	 	(38	)	
Effective Tax Rate	 	15.4	%	 	2.4	 %	 	17.8	%	

		
*	Refer to the Specified Items schedule for further details. Effective tax rate on the Specified Items represents the difference between the GAAP and Non-GAAP effective tax rate.	

13

BRISTOL-MYERS SQUIBB COMPANY
RECONCILIATION OF CERTAIN NON-GAAP LINE ITEMS TO CERTAIN GAAP LINE ITEMS
FOR THE NINE MONTHS ENDED SEPTEMBER 30, 2014 AND 2013
(Unaudited, dollars in millions)

	
													
Nine Months Ended September 30, 2014	 	GAAP	 	Specified
Items*	 	Non
GAAP	
Gross Profit	 	$	8,655		 	$	120		 	$	8,775		
Marketing, selling and administrative	 	2,937		 	(104	)	 	2,833		
Research and development	 	3,345		 	(571	)	 	2,774		
Other (income)/expense	 	(589	)	 	224		 	(365	)	
Effective Tax Rate	 	18.0	%	 	4.8	%	 	22.8	%	
 	 	 	 	 	 	 	
Nine Months Ended September 30, 2013	 	GAAP	 	Specified
Items*	 	Non
GAAP	
Gross Profit	 	$	8,598		 	$	224		 	$	8,822		
Marketing, selling and administrative	 	3,016		 	(6	)	 	3,010		
Research and development	 	2,774		 	—		 	2,774		
Other (income)/expense	 	185		 	(301	)	 	(116	)	
Effective Tax Rate	 	8.8	%	 	5.6	%	 	14.4	%	

		
*	Refer to the Specified Items schedule for further details. Effective tax rate on the Specified Items represents the difference between the GAAP and Non-GAAP effective tax rate.	

14

BRISTOL-MYERS SQUIBB COMPANY
RECONCILIATION OF NON-GAAP EPS TO GAAP EPS
FOR THE THREE AND NINE MONTHS ENDED SEPTEMBER 30, 2014 AND 2013
(Unaudited, dollars and shares in millions except per share data)

	
																	
 	 	Three Months Ended September 30,	 	Nine Months Ended September 30,	
 	 	2014	 	2013	 	2014	 	2013	
Net Earnings Attributable to BMS used for Diluted EPS Calculation - GAAP	 	$	721		 	$	692		 	$	1,991		 	$	1,837		
Less Specified Items*	 	29		 	76		 	323		 	340		
Net Earnings used for Diluted EPS Calculation – Non-GAAP	 	$	750		 	$	768		 	$	2,314		 	$	2,177		
 	 	 	 	 	 	 	 	 	
Average Common Shares Outstanding – Diluted	 	1,670		 	1,662		 	1,668		 	1,659		
 	 	 	 	 	 	 	 	 	
Diluted Earnings Per Share — GAAP	 	$	0.43		 	$	0.42		 	$	1.19		 	$	1.11		
Diluted EPS Attributable to Specified Items	 	0.02		 	0.04		 	0.20		 	0.20		
Diluted Earnings Per Share — Non-GAAP	 	$	0.45		 	$	0.46		 	$	1.39		 	$	1.31		

		
*	Refer to the Specified Items schedule for further details.	

15

BRISTOL-MYERS SQUIBB COMPANY
NET CASH/(DEBT) CALCULATION
AS OF SEPTEMBER 30, 2014 AND JUNE 30, 2014
(Unaudited, dollars in millions)

	
									
 	 	September 30, 2014	 	June 30, 2014	
Cash and cash equivalents	 	$	4,851		 	$	4,282		
Marketable securities - current	 	2,370		 	2,893		
Marketable securities - long term	 	4,328		 	3,876		
     Cash, cash equivalents and marketable securities	 	11,549		 	11,051		
Short-term borrowings and current portion of long-term debt	 	(401	)	 	(365	)	
Long-term debt	 	(7,267	)	 	(7,372	)	
     Net cash position	 	$	3,881		 	$	3,314		

16

Exhibit 99.2

BRISTOL-MYERS SQUIBB COMPANY
QUARTERLY TREND ANALYSIS OF REVENUES
(Unaudited, dollars in millions)

																																																													
Revenues	 	2013	 	2014	 	% Change	 	FX Impact	
 	 	1st Qtr	 	2nd Qtr	 	6 Months	 	3rd Qtr	 	9 Months	 	4th Qtr	 	Year	 	1st Qtr	 	2nd Qtr	 	6 Months	 	3rd Qtr	 	9 Months	 	4th Qtr	 	Year	 	Qtr vs. Qtr	 	YTD vs. YTD	 	Qtr vs. Qtr	 	YTD vs. YTD	
Total	 	$	3,831		 	$	4,048		 	$	7,879		 	$	4,065		 	$	11,944		 	$	4,441		 	$	16,385		 	$	3,811		 	$	3,889		 	$	7,700		 	$	3,921		 	$	11,621		 	 	 	 	 	(4)%	 	(3)%	 	—	 	—	
    US and Puerto Rico	 	1,971		 	2,045		 	4,016		 	2,037		 	6,053		 	2,265		 	8,318		 	1,765		 	1,901		 	3,666		 	1,968		 	5,634		 	 	 	 	 	(3)%	 	(7)%	 	—	 	—	
    Europe	 	946		 	950		 	1,896		 	985		 	2,881		 	1,049		 	3,930		 	948		 	908		 	1,856		 	814		 	2,670		 	 	 	 	 	(17)%	 	(7)%	 	1%	 	2%	
    Rest of the World	 	765		 	835		 	1,600		 	805		 	2,405		 	890		 	3,295		 	830		 	811		 	1,641		 	838		 	2,479		 	 	 	 	 	4%	 	3%	 	(3)%	 	(4)%	
    Other	 	149		 	218		 	367		 	238		 	605		 	237		 	842		 	268		 	269		 	537		 	301		 	838		 	 	 	 	 	26%	 	39%	 	—	 	—	
 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
% of Revenues	 	2013	 	2014	 	 	 	 	 	 	 	 	
 	 	1st Qtr	 	2nd Qtr	 	6 Months	 	3rd Qtr	 	9 Months	 	4th Qtr	 	Year	 	1st Qtr	 	2nd Qtr	 	6 Months	 	3rd Qtr	 	9 Months	 	4th Qtr	 	Year	 	 	 	 	 	 	 	 	
Total	 	100.0	%	 	100.0	%	 	100.0	%	 	100.0	%	 	100.0	%	 	100.0	%	 	100.0	%	 	100.0	%	 	100.0	%	 	100.0	%	 	100.0	%	 	100.0	%	 	 	 	 	 	 	 	 	 	 	 	 	
    US and Puerto Rico	 	51.4	%	 	50.5	%	 	51.0	%	 	50.1	%	 	50.7	%	 	51.0	%	 	50.8	%	 	46.3	%	 	48.9	%	 	47.6	%	 	50.2	%	 	48.5	%	 	 	 	 	 	 	 	 	 	 	 	 	
    Europe	 	24.7	%	 	23.5	%	 	24.1	%	 	24.2	%	 	24.1	%	 	23.6	%	 	24.0	%	 	24.9	%	 	23.3	%	 	24.1	%	 	20.8	%	 	23.0	%	 	 	 	 	 	 	 	 	 	 	 	 	
    Rest of the World	 	20.0	%	 	20.6	%	 	20.3	%	 	19.8	%	 	20.1	%	 	20.0	%	 	20.1	%	 	21.8	%	 	20.9	%	 	21.3	%	 	21.4	%	 	21.3	%	 	 	 	 	 	 	 	 	 	 	 	 	
    Other	 	3.9	%	 	5.4	%	 	4.6	%	 	5.9	%	 	5.1	%	 	5.4	%	 	5.1	%	 	7.0	%	 	6.9	%	 	7.0	%	 	7.6	%	 	7.2	%	 	 	 	 	 	 	 	 	 	 	 	 	

1

BRISTOL-MYERS SQUIBB COMPANY
REVENUES AND COMPOSITION OF CHANGE IN REVENUES
FOR THE PERIOD ENDED SEPTEMBER 30, 2014
(Unaudited, dollars in millions)

																	
QUARTER-TO-DATE	 	Revenues	 	Analysis of % Change	
 	 	2014	 	2013	 	Total Change	 	Volume	 	Price	 	Foreign Exchange	
US and Puerto Rico	 	$	1,968		 	$	2,037		 	(3)%	 	(8)%	 	5%	 	—	
Europe	 	814		 	985		 	(17)%	 	(12)%	 	(6)%	 	1%	
Rest of the World	 	838		 	805		 	4%	 	8%	 	(1)%	 	(3)%	
Other	 	301		 	238		 	26%	 	N/A	 	N/A	 	—	
Total	 	$	3,921		 	$	4,065		 	(4)%	 	(4)%	 	—	 	—	
 	 	 	 	 	 	 	 	 	 	 	 	 	
YEAR-TO-DATE	 	Revenues	 	Analysis of % Change	
 	 	2014	 	2013	 	Total Change	 	Volume	 	Price	 	Foreign Exchange	
US and Puerto Rico	 	$	5,634		 	$	6,053		 	(7)%	 	(11)%	 	4%	 	—	
Europe	 	2,670		 	2,881		 	(7)%	 	(4)%	 	(5)%	 	2%	
Rest of the World	 	2,479		 	2,405		 	3%	 	9%	 	(2)%	 	(4)%	
Other	 	838		 	605		 	39%	 	N/A	 	N/A	 	—	
Total	 	$	11,621		 	$	11,944		 	(3)%	 	(3)%	 	—	 	—	

2

BRISTOL-MYERS SQUIBB COMPANY
EARNINGS FROM OPERATIONS
(Unaudited, dollars and shares in millions except per share data)

																																																									
 	 	2013	 	2014	 	% Change	
 	 	1st Qtr	 	2nd Qtr	 	6 Months	 	3rd Qtr	 	9 Months	 	4th Qtr	 	Year	 	1st Qtr	 	2nd Qtr	 	6 Months	 	3rd Qtr	 	9 Months	 	4th Qtr	 	Year	 	Qtr vs. Qtr	 	YTD vs. YTD	
Net product sales	 	$	2,957		 	$	3,024		 	$	5,981		 	$	3,025		 	$	9,006		 	$	3,298		 	$	12,304		 	$	2,807		 	$	2,770		 	$	5,577		 	$	2,843		 	$	8,420		 	 	 	 	 	(6)%	 	(7)%	
Alliance and other revenues	 	874		 	1,024		 	1,898		 	1,040		 	2,938		 	1,143		 	4,081		 	1,004		 	1,119		 	2,123		 	1,078		 	3,201		 	 	 	 	 	4%	 	9%	
Total Revenues	 	$	3,831		 	$	4,048		 	$	7,879		 	$	4,065		 	$	11,944		 	$	4,441		 	$	16,385		 	$	3,811		 	$	3,889		 	$	7,700		 	$	3,921		 	$	11,621		 	 	 	 	 	(4)%	 	(3)%	
 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Cost of products sold	 	1,063		 	1,108		 	2,171		 	1,175		 	3,346		 	1,273		 	4,619		 	968		 	991		 	1,959		 	1,007		 	2,966		 	 	 	 	 	(14)%	 	(11)%	
Marketing, selling and administrative	 	994		 	1,042		 	2,036		 	980		 	3,016		 	1,068		 	4,084		 	957		 	951		 	1,908		 	1,029		 	2,937		 	 	 	 	 	5%	 	(3)%	
Advertising and product promotion	 	189		 	218		 	407		 	194		 	601		 	254		 	855		 	163		 	187		 	350		 	171		 	521		 	 	 	 	 	(12)%	 	(13)%	
Research and development	 	930		 	951		 	1,881		 	893		 	2,774		 	957		 	3,731		 	946		 	1,416		 	2,362		 	983		 	3,345		 	 	 	 	 	10%	 	21%	
Other (income)/expense	 	(19	)	 	199		 	180		 	5		 	185		 	20		 	205		 	(208	)	 	(104	)	 	(312	)	 	(277	)	 	(589	)	 	 	 	 	 	**	 	**	
Total Expenses	 	3,157		 	3,518		 	6,675		 	3,247		 	9,922		 	3,572		 	13,494		 	2,826		 	3,441		 	6,267		 	2,913		 	9,180		 	 	 	 	 	(10)%	 	(7)%	
 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Earnings Before Income Taxes	 	$	674		 	$	530		 	$	1,204		 	$	818		 	$	2,022		 	$	869		 	$	2,891		 	$	985		 	$	448		 	$	1,433		 	$	1,008		 	$	2,441		 	 	 	 	 	23%	 	21%	
Provision for Income Taxes	 	51		 	—		 	51		 	126		 	177		 	134		 	311		 	49		 	114		 	163		 	276		 	439		 	 	 	 	 	**	 	**	
Net Earnings	 	$	623		 	$	530		 	$	1,153		 	$	692		 	$	1,845		 	$	735		 	$	2,580		 	$	936		 	$	334		 	$	1,270		 	$	732		 	$	2,002		 	 	 	 	 	6%	 	9%	
Net Earnings/(Loss) Attributable to Noncontrolling Interest	 	14		 	(6	)	 	8		 	—		 	8		 	9		 	17		 	(1	)	 	1		 	—		 	11		 	11		 	 	 	 	 	**	 	38%	
Net Earnings Attributable to BMS	 	$	609		 	$	536		 	$	1,145		 	$	692		 	$	1,837		 	$	726		 	$	2,563		 	$	937		 	$	333		 	$	1,270		 	$	721		 	$	1,991		 	 	 	 	 	4%	 	8%	
 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Diluted Earnings per Common Share*	 	$	0.37		 	$	0.32		 	$	0.69		 	$	0.42		 	$	1.11		 	$	0.44		 	$	1.54		 	$	0.56		 	$	0.20		 	$	0.76		 	$	0.43		 	$	1.19		 	 	 	 	 	2%	 	7%	
Average Common Shares Outstanding - Diluted	 	1,655		 	1,660		 	1,658		 	1,662		 	1,659		 	1,666		 	1,662		 	1,666		 	1,669		 	1,668		 	1,670		 	1,668		 	 	 	 	 	—	 	1%	
Dividends declared per common share	 	$	0.35		 	$	0.35		 	$	0.70		 	$	0.35		 	$	1.05		 	$	0.36		 	$	1.41		 	$	0.36		 	$	0.36		 	$	0.72		 	$	0.36		 	$	1.08		 	 	 	 	 	3%	 	3%	

 	 	2013	 	2014	 	 	 	 	
% of Total Revenues	 	1st Qtr	 	2nd Qtr	 	6 Months	 	3rd Qtr	 	9 Months	 	4th Qtr	 	Year	 	1st Qtr	 	2nd Qtr	 	6 Months	 	3rd Qtr	 	9 Months	 	4th Qtr	 	Year	 	 	 	 	
Gross Margin	 	72.3	%	 	72.6	%	 	72.4	%	 	71.1	%	 	72.0	%	 	71.3	%	 	71.8	%	 	74.6	%	 	74.5	%	 	74.6	%	 	74.3	%	 	74.5	%	 	 	 	 	 	 	 	 	
 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Other Ratios	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Effective tax rate	 	7.6	%	 	—		 	4.2	%	 	15.4	%	 	8.8	%	 	15.4	%	 	10.8	%	 	5.0	%	 	25.4	%	 	11.4	%	 	27.4	%	 	18.0	%	 	 	 	 	 	 	 	 	
 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Other (Income)/Expense	 	2013	 	2014	 	% Change	
 	 	1st Qtr	 	2nd Qtr	 	6 Months	 	3rd Qtr	 	9 Months	 	4th Qtr	 	Year	 	1st Qtr	 	2nd Qtr	 	6 Months	 	3rd Qtr	 	9 Months	 	4th Qtr	 	Year	 	Qtr vs. Qtr	 	YTD vs. YTD	
Interest expense	 	$	50		 	$	50		 	$	100		 	$	46		 	$	146		 	$	53		 	$	199		 	$	54		 	$	46		 	$	100		 	$	50		 	$	150		 	 	 	 	 	9%	 	3%	
Investment income	 	(25	)	 	(28	)	 	(53	)	 	(23	)	 	(76	)	 	(28	)	 	(104	)	 	(23	)	 	(28	)	 	(51	)	 	(20	)	 	(71	)	 	 	 	 	 	(13)%	 	(7)%	
Provision for restructuring	 	33		 	173		 	206		 	6		 	212		 	14		 	226		 	21		 	16		 	37		 	35		 	72		 	 	 	 	 	**	 	(66)%	
Litigation charges/(recoveries)	 	—		 	(22	)	 	(22	)	 	17		 	(5	)	 	25		 	20		 	29		 	(20	)	 	9		 	10		 	19		 	 	 	 	 	(41)%	 	**	
Equity in net income of affiliates	 	(36	)	 	(50	)	 	(86	)	 	(42	)	 	(128	)	 	(38	)	 	(166	)	 	(36	)	 	(33	)	 	(69	)	 	(12	)	 	(81	)	 	 	 	 	 	(71)%	 	(37)%	
Out-licensed intangible asset impairment	 	—		 	—		 	—		 	—		 	—		 	—		 	—		 	—		 	—		 	—		 	18		 	18		 	 	 	 	 	**	 	**	
Gain on sale of product lines, businesses and assets	 	(1	)	 	—		 	(1	)	 	—		 	(1	)	 	(1	)	 	(2	)	 	(259	)	 	7		 	(252	)	 	(315	)	 	(567	)	 	 	 	 	 	**	 	**	
Other alliance and licensing income	 	(57	)	 	(32	)	 	(89	)	 	(31	)	 	(120	)	 	(28	)	 	(148	)	 	(108	)	 	(144	)	 	(252	)	 	(102	)	 	(354	)	 	 	 	 	 	**	 	**	
Pension curtailments, settlements and special termination benefits	 	—		 	101		 	101		 	37		 	138		 	27		 	165		 	64		 	45		 	109		 	28		 	137		 	 	 	 	 	(24)%	 	(1)%	
Other	 	17		 	7		 	24		 	(5	)	 	19		 	(4	)	 	15		 	50		 	7		 	57		 	31		 	88		 	 	 	 	 	**	 	**	
 	 	$	(19	)	 	$	199		 	$	180		 	$	5		 	$	185		 	$	20		 	$	205		 	$	(208	)	 	$	(104	)	 	$	(312	)	 	$	(277	)	 	$	(589	)	 	 	 	 	 	**	 	**	

	
* Quarterly amounts may not add to the year-to-date totals due to rounding of individual calculations.	
** In excess of 100%	

3

 BRISTOL-MYERS SQUIBB COMPANY
RECONCILIATION OF GAAP AND NON-GAAP GROWTH DOLLARS AND PERCENTAGES EXCLUDING FOREIGN EXCHANGE IMPACT
FOR THE PERIOD ENDED SEPTEMBER 30, 2014
(Unaudited, dollars in millions)

	
																										
QUARTER-TO-DATE	 	2014	 	2013	 	Growth $	 	Growth %	 	Favorable /
(Unfavorable)
FX Impact $ *	 	2014
Excluding FX	 	Favorable /
(Unfavorable)
FX Impact % *	 	Growth %
Excluding FX	
Revenues	 	$	3,921		 	$	4,065		 	(144	)	 	(4)%	 	$	(18	)	 	$	3,939		 	—	 	(4)%	
Gross profit	 	2,914		 	2,890		 	24		 	1%	 	N/A		 	N/A		 	N/A	 	N/A	
Gross profit excluding specified items (a)	 	2,950		 	2,959		 	(9	)	 	—	 	N/A		 	N/A		 	N/A	 	N/A	
          Gross profit excluding specified items as a % of revenues	 	75.2	%	 	72.8	%	 	 	 	 	 	 	 	 	 	 	 	 	
 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Marketing, selling and administrative	 	1,029		 	980		 	49		 	5%	 	5		 	1,034		 	1%	 	6%	
Marketing, selling and administrative excluding specified items (a)	 	931		 	976		 	(45	)	 	(5)%	 	5		 	936		 	1%	 	(4)%	
 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Advertising and product promotion	 	171		 	194		 	(23	)	 	(12)%	 	2		 	173		 	1%	 	(11)%	
 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
         SG&A excluding specified items as a % of revenues	 	28.1	%	 	28.8	%	 	 	 	 	 	 	 	 	 	 	 	 	
 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Research and development	 	983		 	893		 	90		 	10%	 	8		 	991		 	1%	 	11%	
Research and development excluding specified items (a)	 	918		 	893		 	25		 	3%	 	8		 	926		 	1%	 	4%	
 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
         Research and development excluding specified items as a % of revenues	 	23.4	%	 	22.0	%	 	 	 	 	 	 	 	 	 	 	 	 	

YEAR-TO-DATE	 	2014	 	2013	 	Growth $	 	Growth %	 	Favorable /
(Unfavorable)
FX Impact $ *	 	2014
Excluding FX	 	Favorable /
(Unfavorable)
FX Impact % *	 	Growth %
Excluding FX	
Revenues	 	$	11,621		 	$	11,944		 	(323	)	 	(3)%	 	$	(32	)	 	$	11,653		 	—	 	(3)%	
Gross profit	 	8,655		 	8,598		 	57		 	1%	 	N/A		 	N/A		 	N/A	 	N/A	
Gross profit excluding specified items (a)	 	8,775		 	8,822		 	(47	)	 	(1)	 	N/A		 	N/A		 	N/A	 	N/A	
          Gross profit excluding specified items as a % of revenues	 	75.5	%	 	73.9	%	 	 	 	 	 	 	 	 	 	 	 	 	
 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Marketing, selling and administrative	 	2,937		 	3,016		 	(79	)	 	(3)%	 	16		 	2,953		 	1%	 	(2)%	
Marketing, selling and administrative excluding specified items (a)	 	2,833		 	3,010		 	(177	)	 	(6)%	 	16		 	2,849		 	1%	 	(5)%	
 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Advertising and product promotion	 	521		 	601		 	(80	)	 	(13)%	 	4		 	525		 	—	 	(13)%	
 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
         SG&A excluding specified items as a % of revenues	 	28.9	%	 	30.2	%	 	 	 	 	 	 	 	 	 	 	 	 	
 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Research and development	 	3,345		 	2,774		 	571		 	21%	 	6		 	3,351		 	—	 	21%	
Research and development excluding specified items (a)	 	2,774		 	2,774		 	—		 	—	 	6		 	2,780		 	—	 	—	
 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
         Research and development excluding specified items as a % of revenues	 	23.9	%	 	23.2	%	 	 	 	 	 	 	 	 	 	 	 	 	

				
(a) Refer to the Specified Items schedule for further details.	
* Foreign exchange (FX) impact determined by the change in a line item's current and prior period results at a common exchange rate and comparing this change to the actual reported change from the same period. This difference is determined to be the FX impact.	

4

BRISTOL-MYERS SQUIBB COMPANY
WORLDWIDE REVENUES FROM OPERATIONS BY PRODUCT
QUARTERLY REVENUES TREND ANALYSIS AND RECONCILIATION OF GAAP AND NON-GAAP GROWTH DOLLARS AND PERCENTAGES EXCLUDING FOREIGN EXCHANGE IMPACT
(Unaudited, dollars in millions)

																																																																																	
 	 	2013	 	2014	 	Growth $	 	% Change	 	EX-FX	 	FX Impact	
 	 	1st Qtr	 	2nd Qtr	 	6 Months	 	3rd Qtr	 	9 Months	 	4th Qtr	 	Year	 	1st Qtr	 	2nd Qtr	 	6 Months	 	3rd Qtr	 	9 Months	 	4th 
Qtr	 	Year	 	Qtr vs. Qtr	 	YTD vs. YTD	 	Qtr vs. Qtr	 	YTD vs. YTD	 	QTD EX-FX $	 	YTD EX-FX $	 	Qtr vs. Qtr %	 	YTD vs. YTD %	 	Qtr vs. Qtr	 	YTD vs. YTD	
TOTAL	 	$	3,831		 	$	4,048		 	$	7,879		 	$	4,065		 	$	11,944		 	$	4,441		 	$	16,385		 	$	3,811		 	$	3,889		 	$	7,700		 	$	3,921		 	$	11,621		 	 	 	 	 	$	(144	)	 	$	(323	)	 	(4)%	 	(3)%	 	$	3,939		 	$	11,653		 	(4)%	 	(3)%	 	—	 	—	
Virology (a)	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Baraclude (b)	 	366		 	371		 	737		 	378		 	1,115		 	412		 	1,527		 	406		 	369		 	775		 	325		 	1,100		 	 	 	 	 	(53	)	 	(15	)	 	(14)%	 	(1)%	 	324		 	1,103		 	(14)%	 	(1)%	 	—	 	—	
Hepatitis C Franchise (c)	 	—		 	—		 	—		 	—		 	—		 	—		 	—		 	—		 	—		 	—		 	49		 	49		 	 	 	 	 	49		 	49		 	N/A	 	N/A	 	49		 	49		 	N/A	 	N/A	 	N/A	 	N/A	
Reyataz	 	361		 	431		 	792		 	375		 	1,167		 	384		 	1,551		 	344		 	362		 	706		 	338		 	1,044		 	 	 	 	 	(37	)	 	(123	)	 	(10)%	 	(11)%	 	342		 	1,055		 	(9)%	 	(10)%	 	(1)%	 	(1)%	
Sustiva Franchise (d)	 	387		 	411		 	798		 	389		 	1,187		 	427		 	1,614		 	319		 	361		 	680		 	357		 	1,037		 	 	 	 	 	(32	)	 	(150	)	 	(8)%	 	(13)%	 	356		 	1,029		 	(8)%	 	(13)%	 	—	 	1%	
Oncology (a)	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Erbitux	 	162		 	171		 	333		 	183		 	516		 	180		 	696		 	169		 	186		 	355		 	187		 	542		 	 	 	 	 	4		 	26		 	2%	 	5%	 	187		 	544		 	2%	 	5%	 	N/A	 	N/A	
Opdivo (e)	 	—		 	—		 	—		 	—		 	—		 	—		 	—		 	—		 	—		 	—		 	1		 	1		 	 	 	 	 	1		 	1		 	N/A	 	N/A	 	1		 	1		 	N/A	 	N/A	 	N/A	 	N/A	
Sprycel	 	287		 	312		 	599		 	316		 	915		 	365		 	1,280		 	342		 	368		 	710		 	385		 	1,095		 	 	 	 	 	69		 	180		 	22%	 	20%	 	387		 	1,107		 	22%	 	21%	 	(1)%	 	(1)%	
Yervoy	 	229		 	233		 	462		 	238		 	700		 	260		 	960		 	271		 	321		 	592		 	350		 	942		 	 	 	 	 	112		 	242		 	47%	 	35%	 	350		 	938		 	47%	 	34%	 	—	 	1%	
Neuroscience (a)	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Abilify (f)	 	522		 	563		 	1,085		 	569		 	1,654		 	635		 	2,289		 	540		 	555		 	1,095		 	449		 	1,544		 	 	 	 	 	(120	)	 	(110	)	 	(21)%	 	(7)%	 	450		 	1,539		 	(21)%	 	(7)%	 	—	 	—	
Immunoscience (a)	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Orencia (g)	 	320		 	352		 	672		 	375		 	1,047		 	397		 	1,444		 	363		 	402		 	765		 	444		 	1,209		 	 	 	 	 	69		 	162		 	18%	 	15%	 	448		 	1,222		 	19%	 	17%	 	(1)%	 	(1)%	
Cardiovascular (a)	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Eliquis	 	22		 	12		 	34		 	41		 	75		 	71		 	146		 	106		 	171		 	277		 	216		 	493		 	 	 	 	 	175		 	418		 	**	 	**	 	217		 	494		 	**	 	**	 	N/A	 	N/A	
 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Diabetes Alliance (h)	 	358		 	438		 	796		 	432		 	1,228		 	455		 	1,683		 	179		 	27		 	206		 	42		 	248		 	 	 	 	 	(390	)	 	(980	)	 	(90)%	 	(80)%	 	43		 	248		 	(90)%	 	(80)%	 	—	 	—	
 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Mature Products and All Othe r (i)	 	817		 	754		 	1,571		 	769		 	2,340		 	855		 	3,195		 	772		 	767		 	1,539		 	778		 	2,317		 	 	 	 	 	9		 	(23	)	 	1%	 	(1)%	 	785		 	2,324		 	2%	 	(1)%	 	(1)%	 	—	
 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Total Excluding Diabetes Alliance	 	3,473		 	3,610		 	7,083		 	3,633		 	10,716		 	3,986		 	14,702		 	3,632		 	3,862		 	7,494		 	3,879		 	11,373		 	 	 	 	 	246		 	657		 	7%	 	6%	 	3,896		 	11,405		 	7%	 	6%	 	—	 	—	

		
**	In excess of 100%	
(a)	Key products listed do not represent all products in the respective therapeutic areas.	
(b)	Includes generic sales of entecavir from a U.S. supply and distribution agreement with Par Pharmaceutical Companies, Inc.	
(c)	Includes Daklinza (daclatasvir) revenues of $38M for the three and nine months ended September 30, 2014, and includes Sunvepra (asunaprevir) revenues of $11M for the three and nine months ended September 30, 2014.	
(d)	The Sustiva Franchise includes sales of Sustiva and revenue from sales of bulk efavirenz included in the combination therapy, Atripla. Includes alliance and other revenue of $309M and $328M for the three months ended September 30, 2014 and 2013, respectively, and $894M and $998M for the nine months ended September 30, 2014 and 2013, respectively.	
(e)	Includes alliance and other revenue from our alliance with Ono Pharmaceutical Company Ltd. in Japan.	
(f)	Includes alliance and other revenue of $410M and $464M for three months ended September 30, 2014 and 2013, respectively, and $1,350M and $1,313M for the nine months ended September 30, 2014 and 2013, respectively.	
(g)	Includes Orencia SubQ revenues of $192M and $118M for three months ended September 30, 2014 and 2013, respectively, and $488M and $302M for the nine months ended September 30, 2014 and 2013, respectively.	
(h)	The nine months ended September 30, 2014 includes pre-divestiture revenues of Bydureon, Byetta, Farxiga/Forxiga/Xigduo, Onglyza/Kombiglyze, Symlin and Myalept of $153M and post-divestiture revenues of $95M.	
(i)	Represents all other products, including those which have lost exclusivity in major markets, over the counter brands and royalty-related revenue. Includes Plavix revenues of $44M and $42M for the three months ended September 30, 2014 and 2013, respectively, and $137M and $177M for the nine months ended September 30, 2014 and 2013, respectively. Additionally, includes Avapro/Avalide revenues of $56M and $71M for the three months ended September 30, 2014 and 2013, respectively, and $171M and $173M for the nine months ended September 30, 2014 and 2013, respectively.	

5

BRISTOL-MYERS SQUIBB COMPANY
DOMESTIC REVENUES FROM OPERATIONS BY PRODUCT
QUARTERLY REVENUES TREND ANALYSIS
(Unaudited, dollars in millions)

																																																									
 	 	2013	 	2014	 	% Change	
 	 	1st Qtr	 	2nd Qtr	 	6 Months	 	3rd Qtr	 	9 Months	 	4th Qtr	 	Year	 	1st Qtr	 	2nd Qtr	 	6 Months	 	3rd Qtr	 	9 Months	 	4th Qtr	 	Year	 	Qtr vs. Qtr	 	YTD vs. YTD	
TOTAL (a)	 	$	1,971		 	$	2,045		 	$	4,016		 	$	2,037		 	$	6,053		 	$	2,265		 	$	8,318		 	$	1,765		 	$	1,901		 	$	3,666		 	$	1,968		 	$	5,634		 	 	 	 	 	(3)%	 	(7)%	
Virology	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Baraclude (b)	 	68		 	73		 	141		 	67		 	208		 	81		 	289		 	70		 	84		 	154		 	40		 	194		 	 	 	 	 	(40)%	 	(7)%	
Reyataz	 	193		 	200		 	393		 	189		 	582		 	187		 	769		 	176		 	168		 	344		 	169		 	513		 	 	 	 	 	(11)%	 	(12)%	
Sustiva Franchise (c)	 	251		 	275		 	526		 	259		 	785		 	307		 	1,092		 	228		 	266		 	494		 	284		 	778		 	 	 	 	 	10%	 	(1)%	
Oncology	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Erbitux	 	158		 	168		 	326		 	180		 	506		 	176		 	682		 	158		 	178		 	336		 	175		 	511		 	 	 	 	 	(3)%	 	1%	
Sprycel	 	115		 	135		 	250		 	134		 	384		 	157		 	541		 	145		 	163		 	308		 	179		 	487		 	 	 	 	 	34%	 	27%	
Yervoy (d)	 	159		 	140		 	299		 	130		 	429		 	148		 	577		 	146		 	173		 	319		 	191		 	510		 	 	 	 	 	47%	 	19%	
Neuroscience	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Abilify	 	328		 	378		 	706		 	378		 	1,084		 	435		 	1,519		 	325		 	417		 	742		 	407		 	1,149		 	 	 	 	 	8%	 	6%	
Immunoscience	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Orencia (e)	 	214		 	238		 	452		 	246		 	698		 	256		 	954		 	229		 	254		 	483		 	292		 	775		 	 	 	 	 	19%	 	11%	
Cardiovascular	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Eliquis	 	17		 	5		 	22		 	27		 	49		 	48		 	97		 	61		 	94		 	155		 	113		 	268		 	 	 	 	 	**	 	**	
 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Diabetes Alliance (f)	 	292		 	320		 	612		 	308		 	920		 	322		 	1,242		 	114		 	—		 	114		 	—		 	114		 	 	 	 	 	(100)%	 	(88)%	
 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Mature Products and All Other (g)	 	176		 	113		 	289		 	119		 	408		 	148		 	556		 	113		 	104		 	217		 	118		 	335		 	 	 	 	 	(1)%	 	(18)%	
 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Total Excluding Diabetes Alliance	 	1,679		 	1,725		 	3,404		 	1,729		 	5,133		 	1,943		 	7,076		 	1,651		 	1,901		 	3,552		 	1,968		 	5,520		 	 	 	 	 	14%	 	8%	

		
**	 In excess of 100%	
(a)	Domestic revenues include United States and Puerto Rico.	
(b)	Includes generic sales of entecavir from a U.S. supply and distribution agreement with Par Pharmaceutical Companies, Inc.	
(c)	The Sustiva Franchise includes sales of Sustiva, as well as revenue from sales of bulk efavirenz included in the combination therapy, Atripla.	
(d)	Nine months ended September 30, 2013 includes $25 million of net sales that were previously deferred until sufficient historical experience to estimate sales returns was developed. The following table provides a reconciliation of the net impact of reversal of previously deferred net sales.	

										
 	 	2014	 	2013	 	% Change	
 	 	3rd Qtr	9 Months	 	3rd Qtr	9 Months	 	Qtr vs. Qtr	YTD vs. YTD	
 	 	 	 	 	 	 	 	 	 	
Yervoy Revenues As Reported	 	191	510	 	130	429	 	47%	19%	
Reversal of deferred revenues, net	 	—	—	 	—	(25)	 	—	(100)%	
Yervoy Revenues - Adjusted	 	191	510	 	130	404	 	47%	26%	

	
		
(e)	Includes Orencia SubQ revenues of $129M and $91M for three months ended September 30, 2014 and 2013, respectively, and $327M and $244M for the nine months ended September 30, 2014 and 2013, respectively.	
(f)	Includes Bydureon, Byetta, Farxiga, Onglyza/Kombiglyze and Symlin and Myalept.	
(g)	Represents all other products sold in the U.S., including those which have lost exclusivity in major markets.	

6

BRISTOL-MYERS SQUIBB COMPANY
INTERNATIONAL REVENUES FROM OPERATIONS BY PRODUCT
QUARTERLY REVENUES TREND ANALYSIS
(Unaudited, dollars in millions)

																																																													
 	 	2013	 	2014	 	% Change	 	FX Impact	
 	 	1st Qtr	 	2nd Qtr	 	6 Months	 	3rd Qtr	 	9 Months	 	4th Qtr	 	Year	 	1st Qtr	 	2nd Qtr	 	6 Months	 	3rd Qtr	 	9 Months	 	4th Qtr	 	Year	 	Qtr vs. Qtr	 	YTD vs. YTD	 	Qtr vs. Qtr	 	YTD vs. YTD	
TOTAL	 	$	1,860		 	$	2,003		 	$	3,863		 	$	2,028		 	$	5,891		 	$	2,176		 	$	8,067		 	$	2,046		 	$	1,988		 	$	4,034		 	$	1,953		 	$	5,987		 	 	 	 	 	(4)%	 	2%	 	(1)%	 	—	
Virology	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Baraclude	 	298		 	298		 	596		 	311		 	907		 	331		 	1,238		 	336		 	285		 	621		 	285		 	906		 	 	 	 	 	(8)%	 	—	 	—	 	—	
Hepatitis C Franchise (a)	 	—		 	—		 	—		 	—		 	—		 	—		 	—		 	—		 	—		 	—		 	49		 	49		 	 	 	 	 	N/A	 	N/A	 	N/A	 	N/A	
Reyataz	 	168		 	231		 	399		 	186		 	585		 	197		 	782		 	168		 	194		 	362		 	169		 	531		 	 	 	 	 	(9)%	 	(9)%	 	(2)%	 	(2)%	
Sustiva Franchise (b)	 	136		 	136		 	272		 	130		 	402		 	120		 	522		 	91		 	95		 	186		 	73		 	259		 	 	 	 	 	(44)%	 	(36)%	 	—	 	2%	
Oncology	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Erbitux	 	4		 	3		 	7		 	3		 	10		 	4		 	14		 	11		 	8		 	19		 	12		 	31		 	 	 	 	 	**	 	**	 	N/A	 	N/A	
Opdivo (c)	 	—		 	—		 	—		 	—		 	—		 	—		 	—		 	—		 	—		 	—		 	1		 	1		 	 	 	 	 	N/A	 	N/A	 	N/A	 	N/A	
Sprycel	 	172		 	177		 	349		 	182		 	531		 	208		 	739		 	197		 	205		 	402		 	206		 	608		 	 	 	 	 	13%	 	15%	 	(2)%	 	(2)%	
Yervoy	 	70		 	93		 	163		 	108		 	271		 	112		 	383		 	125		 	148		 	273		 	159		 	432		 	 	 	 	 	47%	 	59%	 	1%	 	1%	
Neuroscience	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Abilify (d)	 	194		 	185		 	379		 	191		 	570		 	200		 	770		 	215		 	138		 	353		 	42		 	395		 	 	 	 	 	(78)%	 	(31)%	 	(1)%	 	1%	
Immunoscience	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Orencia	 	106		 	114		 	220		 	129		 	349		 	141		 	490		 	134		 	148		 	282		 	152		 	434		 	 	 	 	 	18%	 	24%	 	(2)%	 	(4)%	
Cardiovascular	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Eliquis	 	5		 	7		 	12		 	14		 	26		 	23		 	49		 	45		 	77		 	122		 	103		 	225		 	 	 	 	 	**	 	**	 	N/A	 	N/A	
 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Diabetes Alliance (e)	 	66		 	118		 	184		 	124		 	308		 	133		 	441		 	65		 	27		 	92		 	42		 	134		 	 	 	 	 	(66)%	 	(56)%	 	—	 	—	
 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Mature Products and All Other (f)	 	641		 	641		 	1,282		 	650		 	1,932		 	707		 	2,639		 	659		 	663		 	1,322		 	660		 	1,982		 	 	 	 	 	2%	 	3%	 	(1)%	 	—	
 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Total Excluding Diabetes Alliance	 	1,794		 	1,885		 	3,679		 	1,904		 	5,583		 	2,043		 	7,626		 	1,981		 	1,961		 	3,942		 	1,911		 	5,853		 	 	 	 	 	—	 	5%	 	(1)%	 	(1)%	

	
		
**	In excess of 100%	
(a)	Includes Daklinza (daclatasvir) revenues of $38M for the three and nine months ended September 30, 2014, and includes Sunvepra (asunaprevir) revenues of $11M for the three and nine months ended September 30, 2014.	
(b)	The Sustiva Franchise includes sales of Sustiva and revenue from sales of bulk efavirenz included in the combination therapy, Atripla.	
(c)	Includes alliance and other revenue from our alliance with Ono Pharmaceutical Company Ltd. in Japan.	
(d)	Includes revenue from the co-promotional agreement with Otsuka Pharmaceutical Co., Ltd.	
(e)	Includes Bydureon, Byetta, Forxiga/Xigduo, Onglyza/Kombiglyze, Symlin and Myalept.	
(f)	Represents all other products, including those which have lost exclusivity in major markets, over the counter brands and royalty-related revenue.	

7

 BRISTOL-MYERS SQUIBB COMPANY
RECONCILIATION OF CERTAIN NON-GAAP LINE ITEMS TO CERTAIN GAAP LINE ITEMS
(Unaudited, dollars in millions)

																																																					
 	 	2013	 	2014	
 	 	1st Qtr	 	2nd Qtr	 	6 Months	 	3rd Qtr	 	9 Months	 	4th Qtr	 	Year	 	1st Qtr	 	2nd Qtr	 	6 Months	 	3rd Qtr	 	9 Months	 	4th Qtr	 	Year	
Gross Profit	 	$	2,768		 	$	2,940		 	$	5,708		 	$	2,890		 	$	8,598		 	$	3,168		 	$	11,766		 	$	2,843		 	$	2,898		 	$	5,741		 	$	2,914		 	$	8,655		 	 	 	 	
Specified items (a)	 	85		 	70		 	155		 	69		 	224		 	102		 	326		 	45		 	39		 	84		 	36		 	120		 	 	 	 	
Gross profit excluding specified items	 	2,853		 	3,010		 	5,863		 	2,959		 	8,822		 	3,270		 	12,092		 	2,888		 	2,937		 	5,825		 	2,950		 	8,775		 	 	 	 	
 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Marketing, selling and administrative	 	994		 	1,042		 	2,036		 	980		 	3,016		 	1,068		 	4,084		 	957		 	951		 	1,908		 	1,029		 	2,937		 	 	 	 	
Specified items (a)	 	(1	)	 	(1	)	 	(2	)	 	(4	)	 	(6	)	 	(10	)	 	(16	)	 	(3	)	 	(3	)	 	(6	)	 	(98	)	 	(104	)	 	 	 	 	
Marketing, selling and administrative excluding specified items	 	993		 	1,041		 	2,034		 	976		 	3,010		 	1,058		 	4,068		 	954		 	948		 	1,902		 	931		 	2,833		 	 	 	 	
 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Research and development	 	930		 	951		 	1,881		 	893		 	2,774		 	957		 	3,731		 	946		 	1,416		 	2,362		 	983		 	3,345		 	 	 	 	
Specified items (a)	 	—		 	—		 	—		 	—		 	—		 	(16	)	 	(16	)	 	(48	)	 	(458	)	 	(506	)	 	(65	)	 	(571	)	 	 	 	 	
Research and development excluding specified items	 	930		 	951		 	1,881		 	893		 	2,774		 	941		 	3,715		 	898		 	958		 	1,856		 	918		 	2,774		 	 	 	 	
 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Other (income)/expense	 	(19	)	 	199		 	180		 	5		 	185		 	20		 	205		 	(208	)	 	(104	)	 	(312	)	 	(277	)	 	(589	)	 	 	 	 	
Specified items (a)	 	(19	)	 	(239	)	 	(258	)	 	(43	)	 	(301	)	 	(39	)	 	(340	)	 	88		 	(67	)	 	21		 	203		 	224		 	 	 	 	
Other (income)/expense excluding specified items	 	(38	)	 	(40	)	 	(78	)	 	(38	)	 	(116	)	 	(19	)	 	(135	)	 	(120	)	 	(171	)	 	(291	)	 	(74	)	 	(365	)	 	 	 	 	
 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Effective Tax Rate	 	7.6	%	 	—		 	4.2	%	 	15.4	%	 	8.8	%	 	15.4	%	 	10.8	%	 	5.0	%	 	25.4	 %	 	11.4	%	 	27.4	 %	 	18.0	%	 	 	 	 	
Specified items (a)	 	3.4	%	 	13.8	%	 	8.3	%	 	2.4	%	 	5.6	%	 	2.5	%	 	4.6	%	 	18.0	%	 	(4.1	)%	 	10.7	%	 	(3.2	)%	 	4.8	%	 	 	 	 	
Effective Tax Rate excluding specified items	 	11.0	%	 	13.8	%	 	12.5	%	 	17.8	%	 	14.4	%	 	17.9	%	 	15.4	%	 	23.0	%	 	21.3	 %	 	22.1	%	 	24.2	 %	 	22.8	%	 	 	 	 	

	
	
(a) Refer to the Specified Items schedule for further details. Effective tax rate on the Specified Items represents the difference between the GAAP and Non-GAAP effective tax rate.	

8

BRISTOL-MYERS SQUIBB COMPANY
SPECIFIED ITEMS
(Unaudited, dollars in millions)

																																																					
 	 	2013	 	2014	
 	 	1st Qtr	 	2nd Qtr	 	6 Months	 	3rd Qtr	 	9 Months	 	4th Qtr	 	Year	 	1st Qtr	 	2nd Qtr	 	6 Months	 	3rd Qtr	 	9 Months	 	4th Qtr	 	Year	
Accelerated depreciation, asset impairment and other shutdown costs	 	$	—		 	$	—		 	$	—		 	$	—		 	$	—		 	$	36		 	$	36		 	$	45		 	$	39		 	$	84		 	$	36		 	$	120		 	 	 	 	
Amortization of acquired Amylin intangible assets	 	138		 	137		 	275		 	137		 	412		 	137		 	549		 	—		 	—		 	—		 	—		 	—		 	 	 	 	
Amortization of Amylin alliance proceeds	 	(67	)	 	(67	)	 	(134	)	 	(68	)	 	(202	)	 	(71	)	 	(273	)	 	—		 	—		 	—		 	—		 	—		 	 	 	 	
Amortization of Amylin inventory adjustment	 	14		 	—		 	14		 	—		 	14		 	—		 	14		 	—		 	—		 	—		 	—		 	—		 	 	 	 	
Cost of products sold	 	85		 	70		 	155		 	69		 	224		 	102		 	326		 	45		 	39		 	84		 	36		 	120		 	 	 	 	
 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Additional year of Branded Prescription Drug Fee	 	—		 	—		 	—		 	—		 	—		 	—		 	—		 	—		 	—		 	—		 	96		 	96		 	 	 	 	
Process standardization implementation costs	 	1		 	1		 	2		 	4		 	6		 	10		 	16		 	3		 	3		 	6		 	2		 	8		 	 	 	 	
Marketing, selling and administrative	 	1		 	1		 	2		 	4		 	6		 	10		 	16		 	3		 	3		 	6		 	98		 	104		 	 	 	 	
 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Upfront, milestone and other payments	 	—		 	—		 	—		 	—		 	—		 	16		 	16		 	15		 	148		 	163		 	65		 	228		 	 	 	 	
IPRD impairments	 	—		 	—		 	—		 	—		 	—		 	—		 	—		 	33		 	310		 	343		 	—		 	343		 	 	 	 	
Research and development	 	—		 	—		 	—		 	—		 	—		 	16		 	16		 	48		 	458		 	506		 	65		 	571		 	 	 	 	
 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Provision for restructuring	 	33		 	173		 	206		 	6		 	212		 	14		 	226		 	21		 	16		 	37		 	35		 	72		 	 	 	 	
Gain on sale of product lines, businesses and assets	 	—		 	—		 	—		 	—		 	—		 	—		 	—		 	(259	)	 	12		 	(247	)	 	(315	)	 	(562	)	 	 	 	 	
Pension curtailments, settlements and special termination benefits	 	—		 	99		 	99		 	37		 	136		 	25		 	161		 	64		 	45		 	109		 	28		 	137		 	 	 	 	
Acquisition and alliance related items (a)	 	—		 	(10	)	 	(10	)	 	—		 	(10	)	 	—		 	(10	)	 	16		 	17		 	33		 	39		 	72		 	 	 	 	
Litigation charges/(recoveries)	 	—		 	(23	)	 	(23	)	 	—		 	(23	)	 	—		 	(23	)	 	25		 	(23	)	 	2		 	10		 	12		 	 	 	 	
Loss on debt redemption	 	—		 	—		 	—		 	—		 	—		 	—		 	—		 	45		 	—		 	45		 	—		 	45		 	 	 	 	
Upfront, milestone and other licensing receipts	 	(14	)	 	—		 	(14	)	 	—		 	(14	)	 	—		 	(14	)	 	—		 	—		 	—		 	—		 	—		 	 	 	 	
Other (income)/expense	 	19		 	239		 	258		 	43		 	301		 	39		 	340		 	(88	)	 	67		 	(21	)	 	(203	)	 	(224	)	 	 	 	 	
 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Increase/(decrease) to pretax income	 	105		 	310		 	415		 	116		 	531		 	167		 	698		 	8		 	567		 	575		 	(4	)	 	571		 	 	 	 	
Income tax on items above	 	(35	)	 	(116	)	 	(151	)	 	(40	)	 	(191	)	 	(51	)	 	(242	)	 	(179	)	 	(102	)	 	(281	)	 	33		 	(248	)	 	 	 	 	
Increase/(decrease) to net earnings	 	$	70		 	$	194		 	$	264		 	$	76		 	$	340		 	$	116		 	$	456		 	$	(171	)	 	$	465		 	$	294		 	$	29		 	$	323		 	 	 	 	

	
(a) Includes $16 million of additional year of Branded Prescription Drug Fee.	

9

BRISTOL-MYERS SQUIBB COMPANY
SELECTED BALANCE SHEET INFORMATION
(Unaudited, dollars in millions)

	
																															
 	 	March 31,
2013	 	June 30,
2013	 	September 30,
2013	 	December 31,
2013	 	March 31,
2014	 	June 30,
2014	 	September 30,
2014	 	December 31,
2014	
Cash and cash equivalents	 	$	1,355		 	$	1,821		 	$	1,771		 	$	3,586		 	$	5,225		 	$	4,282		 	$	4,851		 	 	
Marketable securities - current	 	1,178		 	978		 	951		 	939		 	1,834		 	2,893		 	2,370		 	 	
Marketable securities - long term	 	3,242		 	3,223		 	3,623		 	3,747		 	3,558		 	3,876		 	4,328		 	 	
     Cash, cash equivalents and marketable securities	 	5,775		 	6,022		 	6,345		 	8,272		 	10,617		 	11,051		 	11,549		 	 	
 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Short-term borrowings and current portion of long-term debt	 	(1,372	)	 	(764	)	 	(680	)	 	(359	)	 	(281	)	 	(365	)	 	(401	)	 	 	
Long-term debt	 	(6,522	)	 	(6,442	)	 	(6,532	)	 	(7,981	)	 	(7,367	)	 	(7,372	)	 	(7,267	)	 	 	
     Net cash/(debt) position	 	$	(2,119	)	 	$	(1,184	)	 	$	(867	)	 	$	(68	)	 	$	2,969		 	$	3,314		 	$	3,881		 	 	

10

BRISTOL-MYERS SQUIBB COMPANY
2014 FULL YEAR PROJECTED DILUTED EPS FROM OPERATIONS
EXCLUDING PROJECTED SPECIFIED ITEMS

	
			
 	Full Year 2014	
Projected Diluted Earnings Attributable to Shareholders per Common Share - GAAP	 $1.15 to $1.25		
Projected Specified Items:	 	
Downsizing and streamlining of worldwide operations	0.15		
Upfront and milestone payments, net	0.12		
Gain on diabetes business divestiture and other related impacts	(0.27	)	
Pension settlements	0.33		
Impairment Charges	0.13		
Additional year of Branded Prescription Drug Fee	0.07		
Other	0.02		
Total	0.55		
 	 	
Projected Diluted Earnings Attributable to Shareholders per Common Share - Non-GAAP	 $1.70 to $1.80		

										
Gross margin as a percentage of revenues on a GAAP and non-GAAP basis for the nine months ended September 30, 2014 was 74.5% and 75.5%, respectively. On a non-GAAP basis, the Company projects gross margin as a percentage of revenues for the full year 2014 between 75% and 76%. There is no reliable comparable GAAP measure for this forward-looking information on gross margin. See "—Reconciliation of GAAP and non-GAAP Growth Dollars and Percentages Excluding Foreign Exchange Impact".	
 	 	 	 	 	 	 	 	 	 	
Research and development expenses on a GAAP and non-GAAP basis for the nine months ended September 30, 2014 were $3.3 billion and $2.8 billion, respectively. On a non-GAAP basis, the Company projects research and development expense for the full year 2014 to grow in the mid single digit range compared to 2013. It is estimated that 30% to 45% of the research and development expenses in 2014 will be incurred on late-stage development programs. There is no reliable comparable GAAP measure for this forward-looking information on research and development. See "—Reconciliation of Certain non-GAAP Line Items to Certain GAAP Line Items".	
 	 	 	 	 	 	 	 	 	 	
Marketing, selling and administrative expenses on a GAAP and non-GAAP basis for the nine months ended September 30, 2014 were $2.9 billion and $2.8 billion, respectively. On a GAAP basis, expenses for the nine months ended September 30, 2014 included specified items of $104 million. On a non-GAAP basis, the Company projects marketing, selling and administrative expenses for the full year 2014 to decrease in the mid single digit range compared to 2013. There is no reliable comparable GAAP measure for this forward-looking information on marketing, selling and administrative expense. See "—Reconciliation of Certain non-GAAP Line Items to Certain GAAP Line Items".	
 	 	 	 	 	 	 	 	 	 	
The effective tax rate on a GAAP basis for the nine months ended September 30, 2014 was 18.0%. On a non-GAAP basis, for the nine months ended September 30, 2014 the effective tax rate was 22.8%. On a non-GAAP basis, the Company projects an annual effective tax rate of between 19% and 20%. There is no reliable comparable GAAP measure for this forward-looking information on the tax rate. See "—Reconciliation of Certain non-GAAP Line Items to Certain GAAP Line Items".	
 	 	 	 	 	 	 	 	 	 	
The GAAP financial results for the full year 2014 will include specified items, including gains on divestitures, expected charges associated with downsizing and streamlining worldwide operations, in-process research and development (IPRD) and asset impairments, upfront and milestone payments, restructuring, charges and recoveries relating to significant legal proceedings, pension related items and additional charges related to the Branded Prescription Drug Fee.  The GAAP financial results for the full year 2014 could also include other specified items that have not yet been identified and quantified, including any gains or losses from acquisitions or divestitures, additional upfront, milestone and other licensing payments, charges for IPRD and licensed asset impairments, charges and recoveries relating to significant legal proceedings, restructuring activities and significant tax events. For a fuller discussion of certain litigation and other matters that could impact full year GAAP results, as well as the use of non-GAAP financial information, see Bristol-Myers Squibb Reports Third Quarter 2014 Financial Results, October 24, 2014 including “2014 Financial Guidance” and “Use of non-GAAP Financial Information” therein. 

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