bristol myerd squibb Lehman Brothers Global Healthcare Conference

This presentation is intended solely for an investment communityThis presentation is intended solely for an investment community/industry audience/industry audience--not for promotional use not for promotional use

John CelentanoJohn CelentanoSenior Vice PresidentSenior Vice President

Strategy and Productivity TransformationStrategy and Productivity Transformation

Lehman Brothers Healthcare ConferenceLehman Brothers Healthcare ConferenceMarch 19, 2008March 19, 2008

2This presentation is intended solely for an investment communityThis presentation is intended solely for an investment community/industry audience/industry audience--not for promotional use not for promotional use

Next Generation BioPharmaNext Generation BioPharma

Next GenerationBioPharma

Best of PharmaBest of Biotech

Innovative Innovative PortfolioPortfolio

Selectively Selectively Integrated Integrated

Business ModelBusiness ModelContinuous Continuous

ImprovementImprovement

Agile, Entrepreneurial and Accountable Culture


CultureCultureOn track to embed a high performance culture that On track to embed a high performance culture that supports the Next Generation BioPharma Modelsupports the Next Generation BioPharma Model

Agile and entrepreneurialAgile and entrepreneurialClear accountability and delegation of authorityClear accountability and delegation of authorityInnovation and performance with integrityInnovation and performance with integrityContinuous improvementContinuous improvement

Progress to dateProgress to dateInitiated change management programInitiated change management programEngaging employeesEngaging employeesCreated aligned incentivesCreated aligned incentives


Execution of BMS Biologics StrategyExecution of BMS Biologics Strategy

AdnexusAdnexus

InternalInternalpipelinepipeline

IpilimumabIpilimumab(Cancer)(Cancer)

BelataceptBelatacept(Solid Organ (Solid Organ Transplant)Transplant)

VEGF RVEGF R--22InhibitorInhibitor(Cancer)(Cancer)

AntiAnti--CD137CD137(Cancer)(Cancer)

Devens Bulk Devens Bulk ManufacturingManufacturing

SyracuseSyracuse

Third Party Third Party ManufacturersManufacturers

ErbituxErbitux(Cancer)(Cancer)

OrenciaOrencia(Rheumatoid (Rheumatoid Arthritis)Arthritis)


Our Productivity ApproachOur Productivity Approach

Productivity Transformation Team

Management Council

Supply ChainSupply Chain R&DR&D Commercial Commercial OperationsOperations

G&AG&A

$1.5 BillionCost Savings + Cost Avoidance

$400 MM$400 MM $200 MM$200 MM $550 MM$550 MM $350 MM$350 MM


Top 50 Initiatives Generate Significant Top 50 Initiatives Generate Significant Proportion of SavingsProportion of Savings

Next 250 InitiativesNext 250 Initiatives

SavingsSavings $1.5 B$1.5 B

300 Initiatives Identified300 Initiatives IdentifiedFirst 50 First 50 InitiativesInitiatives


CostCost--Disciplined Science: Disciplined Science: Clinical StudiesClinical Studies

Limit Over-Recruitment

Examples: Limit overExamples: Limit over--recruitment and reducerecruitment and reduceclinical data collected clinical data collected

Currently overCurrently over--recruit for many recruit for many clinical trialsclinical trials

Proactively Proactively manage manage recruitment in a recruitment in a staged waystaged way

Improved Data Management+Currently collect Currently collect >25MM data >25MM data points at $3/pointpoints at $3/point

Collect and Collect and process only process only necessary data necessary data through upfront through upfront cost/benefit cost/benefit evaluationevaluation

Impact:>$20MM


Apply Lean Thinking to Streamline Apply Lean Thinking to Streamline ProcessesProcesses

~30% of supplies ~30% of supplies unused at clinical unused at clinical sites and returnedsites and returned

Supplies Spend

~$170MM

Unused Supplies~$50MM

Reduce unused supplies by

>40%

Improve Improve enrollment enrollment forecastsforecastsModify inventory Modify inventory levelslevelsSavings >$20MMSavings >$20MM

Example: Optimize Drug Supply ProcessExample: Optimize Drug Supply Process


Supply Chain Redesigned to Support Supply Chain Redesigned to Support BioPharma ModelBioPharma Model

Network segmented and specializedNetwork segmented and specializedInIn--house Biologics capabilityhouse Biologics capabilityAggressive outsourcing of mature productsAggressive outsourcing of mature products

Current Current 2727 PlantsPlants

Generating $400 Million in Productivity

Strategic FiltersStrategic Filters

FutureFuturePortfolioPortfolio

GeographicGeographicFootprintFootprint

ProductProductRationalizationRationalization

>50%>50% ReductionReduction2011 2011


Customer Model Restructured to Support Customer Model Restructured to Support BioPharmaBioPharma

Specialty Model synergizes Sales Force and FieldSpecialty Model synergizes Sales Force and Field--Based Based Medical expertsMedical expertsPartnering on Primary Care maximizes capacity and Partnering on Primary Care maximizes capacity and capability while minimizing fixed overheadcapability while minimizing fixed overheadIncreasing productivityIncreasing productivity

0

2,000

4,000

6,000

8,000

10,000

12,000

2005 2006 2007 2008

FTEs

Primary CareSpecialtyField-Based MedicalTotal Field Force


Growth Driven by Expanding Global PortfolioGrowth Driven by Expanding Global Portfolioand Continued Strong Pipelineand Continued Strong Pipeline

Full Year 2007 % Increase Full Year 2007 % Increase –– as reportedas reported

New Product LaunchesNew Product Launches

PipelinePipeline

Key ProductsKey Products

ipilimumab saxagliptin apixabandapagliflozin belatacept

+46+46%% ++29%29% +21+21%% +10+10%% +6+6%%


Plavix: 2008 Action PlanPlavix: 2008 Action Plan

Market Leadership – Build on Brand Equity

To Ensure Continued Improvement in Patient Care

Increase diagnosisIncrease penetrationin diagnosedpatients

Grow Peripheral Arterial Disease

Business

Grow AcuteCoronary Syndrome

Business

Drive early initiation in accordancewith guidelinesIncrease hospitalfocus

MaintainStroke Business

Drive early initiation in accordance with guidelines


Abilify: Drivers of GrowthAbilify: Drivers of Growth

DTC expansionDTC expansion

Patient focused Patient focused messagingmessaging

New indicationsNew indicationsBranded &Branded &

Unbranded DTCUnbranded DTC

Patient Focused Selling PiecesPatient Focused Selling Pieces


Orencia Strategic FocusOrencia Strategic Focus

Reimbursement specialistsReimbursement specialists

Payer engagementPayer engagement

Patient assistancePatient assistance

Orencia durability / efficacy dataOrencia durability / efficacy data

DTC Campaign LaunchedDTC Campaign Launched


Sprycel: Drivers of GrowthSprycel: Drivers of Growth

Enhanced profile and label in key marketsEnhanced profile and label in key markets–– Lower 100 mg QD starting dose in chronic Lower 100 mg QD starting dose in chronic

phase with similar efficacy and lower frequency phase with similar efficacy and lower frequency of certain side effectsof certain side effects

–– First and only TKI with randomized data First and only TKI with randomized data regarding Gleevec in labelregarding Gleevec in label

Phase II prostate data expected at ASCOPhase II prostate data expected at ASCO

1st Line CML registration trial initiated1st Line CML registration trial initiated–– Sprycel 100 mg QD vs. Gleevec 400 mgSprycel 100 mg QD vs. Gleevec 400 mg


IxempraIxempra--Breast Cancer Business Opportunity Breast Cancer Business Opportunity Evolution Evolution (2008 Patients U.S. Market)(2008 Patients U.S. Market)

AnthracyclineAnthracycline / Taxane // Taxane /Capecitabine Pretreated*Capecitabine Pretreated*

AnthracyclineAnthracycline / Taxane / Taxane Pretreated*Pretreated*

Taxane NaTaxane Naïïveve

AdjuvantAdjuvantNeoNeo--adjuvantadjuvant

AnthracyclineAnthracycline / Taxane / Taxane Refractory*Refractory*

--081081

--048048

--046046

2014 +2014 +

2012 +2012 +

20092009

20072007LaunchLaunch

--115115

--100100

TrialsTrials

--087087117,000117,000

60,00060,000

9,0009,000

38,00038,000

23,00023,000

# Patients# Patients

*Includes patients who may be contraindicated for anthracylines*Includes patients who may be contraindicated for anthracylinesSource: IntrinsiQ Breast Cancer Treatment TreeSource: IntrinsiQ Breast Cancer Treatment TreeDistribution of AT Pretreated vs. AT refractory patientsDistribution of AT Pretreated vs. AT refractory patientsestimated based on primary data sourceestimated based on primary data source


Development PortfolioDevelopment PortfolioFull Development(Registrational, Filed)

•• IxempraIxempra ((IxabepiloneIxabepilone) ) (Cancer)(Cancer)

•• IpilimumabIpilimumab(Cancer)(Cancer)

•• BelataceptBelatacept(Solid Organ Transplant)(Solid Organ Transplant)

•• SaxagliptinSaxagliptin(Diabetes)(Diabetes)

•• DapagliflozinDapagliflozin(Diabetes)(Diabetes)

•• ApixabanApixaban(Thrombosis)(Thrombosis)

Life Cycle Management

•• Sprycel Sprycel (Cancer) (Cancer)

•• Erbitux Erbitux (Cancer)(Cancer)

•• OrenciaOrencia(Rheumatoid Arthritis)(Rheumatoid Arthritis)

•• PlavixPlavix((AtherothrombosisAtherothrombosis))

•• AvaproAvapro / / AvalideAvalide(Hypertension)(Hypertension)

•• Abilify Abilify (Psychiatric Disorders)(Psychiatric Disorders)

•• Baraclude Baraclude (Hepatitis B)(Hepatitis B)

•• Reyataz Reyataz (HIV/AIDS)(HIV/AIDS)

•• SustivaSustiva / ATRIPLA / ATRIPLA (HIV/AIDS)(HIV/AIDS)

Exploratory Development•• Androgen Receptor AntagonistsAndrogen Receptor Antagonists (Cancer)(Cancer)•• IGFIGF--1R Antagonist 1R Antagonist (Cancer)(Cancer)•• VEGF RVEGF R--2 Inhibitor 2 Inhibitor (Cancer)(Cancer)•• BrivanibBrivanib--VEGFR/FGFR Inhibitor VEGFR/FGFR Inhibitor (Cancer)(Cancer)•• ErbBErbB/VEGF Receptor Inhibitor /VEGF Receptor Inhibitor (Cancer)(Cancer)•• AntiAnti--CD137 Antibody CD137 Antibody (Cancer)(Cancer)•• EpothiloneEpothilone--FolateFolate (Cancer)(Cancer)•• Met Met KinaseKinase InhibitorInhibitor (Cancer) (Cancer) •• SMO InhibitorSMO Inhibitor (Cancer)(Cancer)•• Hsp90 InhibitorHsp90 Inhibitor (Cancer)(Cancer)•• p38 Kinase Inhibitorsp38 Kinase Inhibitors (Rheumatoid Arthritis)(Rheumatoid Arthritis)•• CCR2/CCR5 Dual AntagonistCCR2/CCR5 Dual Antagonist (Immunology)(Immunology)•• CCR2 Antagonist CCR2 Antagonist (CV / Met)(CV / Met)•• 1111ββHSD InhibitorHSD Inhibitor (Diabetes)(Diabetes)•• DPP4 Inhibitor BackupDPP4 Inhibitor Backup (Diabetes)(Diabetes)•• CB1 Antagonist CB1 Antagonist (Obesity)(Obesity)•• DGAT Inhibitors DGAT Inhibitors (CV / Met)(CV / Met)•• LXR Agonist LXR Agonist (Atherosclerosis)(Atherosclerosis)•• CRF Antagonists CRF Antagonists (Affective Disorders)(Affective Disorders)•• Triple Reuptake InhibitorTriple Reuptake Inhibitor (Depression)(Depression)•• Gamma Gamma SecretaseSecretase InhibitorInhibitor (Alzheimer(Alzheimer’’s) s) •• HCV Inhibitor Target 1 HCV Inhibitor Target 1 (Hepatitis C)(Hepatitis C)•• HCV InhibitorHCV Inhibitor Target 2 Target 2 (Hepatitis C)(Hepatitis C)•• HCV InhibitorHCV Inhibitor Target 3Target 3 (Hepatitis C)(Hepatitis C)•• HIV Attachment Inhibitor HIV Attachment Inhibitor (HIV/AIDS)(HIV/AIDS)•• HIV HIV IntegraseIntegrase Inhibitor Inhibitor (HIV/AIDS)(HIV/AIDS)

As of December 2007


BMS LateBMS Late--Stage Portfolio Targets Stage Portfolio Targets Unmet Medical Need Unmet Medical Need

apixabanapixaban

dapagliflozindapagliflozin

ipilimumabipilimumab

belataceptbelatacept

ixabepiloneixabepilone

saxagliptinsaxagliptin

Medical NeedMedical Need

Clin

ical

Adv

ance

Clin

ical

Adv

ance

* Circle size is relative peak year sales * Circle size is relative peak year sales by BMS estimates.by BMS estimates.


2008 Key Data Flow2008 Key Data Flow

OrenciaOrenciaLupus: ACR, Oct 2008Lupus: ACR, Oct 2008Early RA: ACR, Oct 2008Early RA: ACR, Oct 2008RA Prevention: EULAR, June 2008RA Prevention: EULAR, June 2008

SprycelSprycel Prostate cancer: ASCO, June 2008Prostate cancer: ASCO, June 2008ErbituxErbitux Lung cancer: ASCO, June 2008Lung cancer: ASCO, June 2008

IxempraIxempra MBC MBC --046 survival data: ASCO Breast, Sept 2008046 survival data: ASCO Breast, Sept 2008MBC MBC --048 survival data: SABCS, Dec 2008048 survival data: SABCS, Dec 2008

BelataceptBelatacept Ph III data available: 4Q 2008Ph III data available: 4Q 2008IpilimumabIpilimumab Metastatic melanoma: ASCO, June 2008Metastatic melanoma: ASCO, June 2008

SaxagliptinSaxagliptin Ph III data: ADA, June 2008Ph III data: ADA, June 2008Ph III data: EASD, Sept 2008Ph III data: EASD, Sept 2008

DapagliflozinDapagliflozin Ph IIb data: ADA, June 2008Ph IIb data: ADA, June 2008

PlavixPlavix ACTIVEACTIVE--A data available: 2H 2008A data available: 2H 2008CURRENT data available: 2H 2008CURRENT data available: 2H 2008

ApixabanApixaban Ph II ACS data: ESC, Aug/Sept 2008Ph II ACS data: ESC, Aug/Sept 2008Ph III VTE prevention data: ASH, Dec 2008Ph III VTE prevention data: ASH, Dec 2008


Next Generation BioPharmaNext Generation BioPharma

Next GenerationBioPharma

Best of PharmaBest of Biotech

Innovative Innovative PortfolioPortfolio

Selectively Selectively Integrated Integrated

Business ModelBusiness ModelContinuous Continuous

ImprovementImprovement

Agile, Entrepreneurial and Accountable Culture

This presentation is intended solely for an investment communityThis presentation is intended solely for an investment community/industry audience/industry audience--not for promotional use not for promotional use

John CelentanoJohn CelentanoSenior Vice PresidentSenior Vice President

Strategy and Productivity TransformationStrategy and Productivity Transformation

Lehman Brothers Healthcare ConferenceLehman Brothers Healthcare ConferenceMarch 19, 2008March 19, 2008

bristol myerd squibb Lehman Brothers Global Healthcare Conference

Economy & Finance

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