Bristol-Myers Squibb 8K Continues Strong Financial Performance | BMY 24 Jul 08

Exhibit 99.2

BRISTOL-MYERS SQUIBB COMPANY

QUARTERLY TREND ANALYSIS OF SALES BY SEGMENT

($ in millions)


Net Sales	2007																					2008													% 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
Pharmaceuticals	$	3,457		$	3,851		$	7,308		$	3,926		$	11,234		$	4,388		$	15,622		$	4,188		$	4,475		$	8,663						16	%	19	%
US Pharmaceuticals		1,932			2,235			4,167			2,295			6,462			2,496			8,958			2,451			2,610			5,061						17	%	21	%
Primary Care		1,090			1,344			2,434			1,363			3,797			1,460			5,257			1,407			1,483			2,890						10	%	19	%
Oncology/Virology		504			511			1,015			539			1,554			602			2,156			619			633			1,252						24	%	23	%
Neuroscience		298			327			625			336			961			368			1,329			352			407			759						24	%	21	%
Immunoscience		40			53			93			57			150			66			216			73			87			160						64	%	72	%
Europe and Middle East Medicines		916			939			1,855			944			2,799			1,086			3,885			1,077			1,135			2,212						21	%	19	%
Latin America/Canada		297			311			608			331			939			396			1,335			316			333			649						7	%	7	%
Asia/Pacific Medicines		289			333			622			319			941			377			1,318			323			365			688						10	%	11	%
Nutritionals		606			620			1,226			675			1,901			670			2,571			703			728			1,431						17	%	17	%
Continuing Operations		4,063			4,471			8,534			4,601			13,135			5,058			18,193			4,891			5,203			10,094						16	%	18	%
Discontinued Operations		413			457			870			449			1,319			465			1,784			308			330			638						-28	%	-27	%
Total Company	$	4,476		$	4,928		$	9,404		$	5,050		$	14,454		$	5,523		$	19,977		$	5,199		$	5,533		$	10,732						12	%	14	%

% of Total Sales	2007																					2008													Basis Point 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
Pharmaceuticals		77.2	%		78.1	%		77.7	%		77.7	%		77.7	%		79.4	%		78.2	%		80.6	%		80.9	%		80.7	%					280		300
US Pharmaceuticals		43.2	%		45.4	%		44.3	%		45.4	%		44.7	%		45.2	%		44.8	%		47.2	%		47.2	%		47.2	%					180		290
Primary Care		24.4	%		27.3	%		25.9	%		26.9	%		26.3	%		26.4	%		26.3	%		27.1	%		26.8	%		26.9	%					(50	)	100
Oncology/Virology		11.3	%		10.4	%		10.8	%		10.7	%		10.8	%		10.9	%		10.8	%		11.9	%		11.4	%		11.7	%					100		90
Neuroscience		6.7	%		6.6	%		6.6	%		6.7	%		6.6	%		6.7	%		6.7	%		6.8	%		7.4	%		7.1	%					80		50
Immunoscience		0.8	%		1.1	%		1.0	%		1.1	%		1.0	%		1.2	%		1.0	%		1.4	%		1.6	%		1.5	%					50		50
Europe and Middle East Medicines		20.5	%		19.1	%		19.7	%		18.7	%		19.4	%		19.7	%		19.4	%		20.7	%		20.5	%		20.6	%					140		90
Latin America/Canada		6.6	%		6.3	%		6.5	%		6.6	%		6.5	%		7.2	%		6.7	%		6.1	%		6.0	%		6.0	%					(30	)	(50	)
Asia/Pacific Medicines		6.5	%		6.8	%		6.6	%		6.3	%		6.5	%		6.8	%		6.6	%		6.2	%		6.6	%		6.4	%					(20	)	(20	)
Nutritionals		13.5	%		12.6	%		13.0	%		13.4	%		13.2	%		12.2	%		12.9	%		13.5	%		13.1	%		13.3	%					50		30
Continuing Operations		90.7	%		90.7	%		90.7	%		91.1	%		90.9	%		91.6	%		91.1	%		94.1	%		94.0	%		94.0	%					330		330
Discontinued Operations		9.3	%		9.3	%		9.3	%		8.9	%		9.1	%		8.4	%		8.9	%		5.9	%		6.0	%		6.0	%					(330	)	(330	)
Total Company		100.0	%		100.0	%		100.0	%		100.0	%		100.0	%		100.0	%		100.0	%		100.0	%		100.0	%		100.0	%

BRISTOL-MYERS SQUIBB COMPANY

SEGMENT SALES AND COMPOSITION OF CHANGE IN SALES FOR CONTINUING OPERATIONS

FOR THE PERIOD ENDED JUNE 30, 2008

($ in millions)


QUARTER-TO-DATE

	Pharmaceuticals			Nutritionals			Continuing Operations
Price Increases/(Decreases)		3	%		10	%		4	%
Foreign Exchange		5	%		5	%		5	%
Volume		8	%		2	%		7	%

Total Change		16	%		17	%		16	%

Total 2008 Period to Date Sales	$	4,475		$	728		$	5,203
Total 2007 Period to Date Sales	$	3,851		$	620		$	4,471

YEAR-TO-DATE
	Pharmaceuticals			Nutritionals			Continuing Operations
Price Increases		3	%		9	%		4	%
Foreign Exchange		5	%		5	%		5	%
Volume		11	%		3	%		9	%

Total Change		19	%		17	%		18	%

Total 2008 Period to Date Sales	$	8,663		$	1,431		$	10,094
Total 2007 Period to Date Sales	$	7,308		$	1,226		$	8,534

BRISTOL-MYERS SQUIBB COMPANY

CONSOLIDATED STATEMENT OF EARNINGS

($ in millions, except per share amounts)


	2007																					2008														% 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 Sales	$	4,063		$	4,471		$	8,534		$	4,601		$	13,135		$	5,058		$	18,193		$	4,891		$	5,203		$	10,094							16	%	18	%

Cost of products sold		1,266			1,408			2,674			1,478			4,152			1,717			5,869			1,570			1,670			3,240							19	%	21	%
Marketing, selling and administrative		1,052			1,103			2,155			1,105			3,260			1,256			4,516			1,134			1,165			2,299							6	%	7	%
Advertising and product promotion		258			354			612			338			950			465			1,415			319			420			739							19	%	21	%
Research and development		781			755			1,536			802			2,338			889			3,227			782			826			1,608							9	%	5	%
Acquired in-process research and development		—			—			—			—			—			230			230			—			32			32							—		—
Provision for restructuring, net		37			7			44			—			44			139			183			11			30			41							*		-7	%
Litigation expense, net		—			14			14			—			14			—			14			—			2			2							-86	%	-86	%
Gain on sale of product assets		—			(26	)		(26	)		(247	)		(273	)		—			(273	)		—			—			—							100	%	100	%
Equity in net income of affiliates		(126	)		(128	)		(254	)		(139	)		(393	)		(131	)		(524	)		(164	)		(150	)		(314	)						-17	%	-24	%
Other expense/(income), net		22			(1	)		21			8			29			322			351			32			(13	)		19							*		-10	%

Total expenses		3,290			3,486			6,776			3,345			10,121			4,887			15,008			3,684			3,982			7,666							14	%	13	%

Earnings Before Minority Interest and Income Taxes	$	773		$	985		$	1,758		$	1,256		$	3,014		$	171		$	3,185		$	1,207		$	1,221		$	2,428							24	%	38	%

Provision for income taxes		40			203			243			292			535			146			681			330			258			588							27	%	142	%
Minority interest, net of taxes		141			194			335			211			546			217			763			230			241			471							24	%	41	%

Net Earnings/(Loss) - Continuing Operations	$	592		$	588		$	1,180		$	753		$	1,933		$	(192	)	$	1,741		$	647		$	722		$	1,369							23	%	16	%
Discontinued Operations		98			118			216			105			321			103			424			14			42			56							-64	%	-74	%

Net Earnings/(Loss)	$	690		$	706		$	1,396		$	858		$	2,254		$	(89	)	$	2,165		$	661		$	764		$	1,425							8	%	2	%

Net Earnings/(Loss) - Continuing Operations	$	592		$	588		$	1,180		$	753		$	1,933		$	(192	)	$	1,741		$	647		$	722		$	1,369
Interest expense on conversion of convertible debt bonds, net of tax		9			9			18			10			28			—	^(a)		—	^(b)		8			4			12

Net Earnings/(Loss) used for diluted earnings per common share calculation - Continuing Operations	$	601		$	597		$	1,198		$	763		$	1,961		$	(192	)^(a)	$	1,741	^(b)	$	655		$	726		$	1,381

Diluted Earnings/(Loss) per Common Share - Continuing Operations**	$	0.30		$	0.30		$	0.60		$	0.38		$	0.98		$	(0.10	)^(a)	$	0.88	^(b)	$	0.32		$	0.36		$	0.69							20	%	15	%
Diluted Earnings per Common Share** - Discontinued Operations		0.05			0.06			0.11			0.05			0.16			0.05			0.21			0.01			0.02			0.03							-67	%	-73	%

Diluted Earnings/(Loss) per Common Share**	$	0.35		$	0.36		$	0.71		$	0.43		$	1.14		$	(0.05	)^(a)	$	1.09	^(b)	$	0.33		$	0.38		$	0.72							6	%	1	%

Average Common Shares Outstanding - Diluted		1,997			2,006			2,002			2,012			2,005			1,975	^(a)		1,980	^(b)		2,008			2,008			2,007							—		—
Dividends declared per common share	$	0.28		$	0.28		$	0.56		$	0.28		$	0.84		$	0.31		$	1.15		$	0.31		$	0.31		$	0.62							11	%	11	%

% of Net Sales
	2007																					2008														Basis Point 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
Gross Margin		68.8	%		68.5	%		68.7	%		67.9	%		68.4	%		66.1	%		67.7	%		67.9	%		67.9	%		67.9	%						(60	)	(80	)

Cost of products sold		31.2	%		31.5	%		31.3	%		32.1	%		31.6	%		33.9	%		32.3	%		32.1	%		32.1	%		32.1	%						60		80
Marketing, selling and administrative		25.9	%		24.7	%		25.3	%		24.0	%		24.8	%		24.8	%		24.8	%		23.2	%		22.4	%		22.8	%						(230	)	(250	)
Advertising and product promotion		6.3	%		7.9	%		7.2	%		7.3	%		7.2	%		9.2	%		7.8	%		6.5	%		8.1	%		7.3	%						20		10
Research and development		19.2	%		16.9	%		18.0	%		17.4	%		17.8	%		17.6	%		17.7	%		16.0	%		15.9	%		15.9	%						(100	)	(210	)
Acquired in-process research and development		—			—			—			—			—			4.5	%		1.3	%		0.0	%		0.6	%		0.3	%						60		30
Total expenses		81.0	%		78.0	%		79.4	%		72.7	%		77.1	%		96.6	%		82.5	%		75.3	%		76.5	%		75.9	%						(150	)	(350	)

Earnings Before Minority Interest and Income Taxes		19.0	%		22.0	%		20.6	%		27.3	%		22.9	%		3.4	%		17.5	%		24.7	%		23.5	%		24.1	%						150		350

Net Earnings/(Loss) - Continuing Operations		14.6	%		13.2	%		13.8	%		16.4	%		14.7	%		-3.8	%		9.6	%		13.2	%		13.9	%		13.6	%						70		(20	)

Other Ratios
Effective Tax Rate		5.2	%		20.6	%		13.8	%		23.2	%		17.8	%		85.4	%		21.4	%		27.3	%		21.1	%		24.2	%						50		1,040

Other (Income)/Expense, net
	2007																					2008														% 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	$	109		$	107		$	216		$	109		$	325		$	96		$	421		$	73		$	80		$	153							-25	%	-29	%
Interest income		(53	)		(62	)		(115	)		(69	)		(184	)		(57	)		(241	)		(43	)		(31	)		(74	)						50	%	36	%
Foreign exchange transaction (gains)/losses		8			(5	)		3			21			24			(9	)		15			19			(2	)		17							60	%	*
Other, net		(42	)		(41	)		(83	)		(53	)		(136	)		292			156			(17	)		(60	)		(77	)						-46	%	7	%

	$	22		$	(1	)	$	21		$	8		$	29		$	322		$	351		$	32		$	(13	)	$	19							*		-10	%

*	in excess of +/- 200%

**	quarterly amounts may not add to the year-to-date totals due to rounding of individual calculations.

(a)	as a result of the Q4 2007 net loss, Diluted Average Common Shares Outstanding and Loss per Common Share are equal to Basic Average Common Shares Outstanding and Loss per Common Share.

(b)	assumed interest amount and the assumed conversion of convertible debt are not used for Diluted Earnings per Common Share calculation as the impact of convertible debt is anti-dilutive.

BRISTOL-MYERS SQUIBB COMPANY

SEGMENT GROSS MARGIN AND PRETAX EARNINGS FROM CONTINUING OPERATIONS

($ in millions)


Gross Profit	2007																					2008													% 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
Pharmaceuticals	$	2,418		$	2,678		$	5,096		$	2,715		$	7,811		$	2,956		$	10,767		$	2,886		$	3,108		$	5,994						16	%	18	%
Pharmaceuticals Excluding Specified Items		2,434			2,691			5,125			2,732			7,857			3,089			10,946			2,982			3,166			6,148						18	%	20	%
Nutritionals **		391			392			783			427			1,210			415			1,625			452			460			912						17	%	16	%

Gross Margin %	2007																					2008													Basis Point 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
Pharmaceuticals		69.9	%		69.5	%		69.7	%		69.2	%		69.5	%		67.4	%		68.9	%		68.9	%		69.5	%		69.2	%					—		(50	)
Pharmaceuticals Excluding Specified Items		70.4	%		69.9	%		70.1	%		69.6	%		69.9	%		70.4	%		70.1	%		71.2	%		70.7	%		71.0	%					80		90
Nutritionals **		64.5	%		63.2	%		63.9	%		63.3	%		63.7	%		61.9	%		63.2	%		64.3	%		63.2	%		63.7	%					—		(20	)

Earnings Before Minority Interest and Income Taxes	2007																					2008													% 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
Pharmaceuticals	$	825		$	1,005		$	1,830		$	977		$	2,807		$	664		$	3,471		$	1,229		$	1,220		$	2,449						21	%	34	%
Pharmaceuticals Excluding Specified Items		921			1,035			1,956			1,054			3,010			1,040			4,050			1,347			1,342			2,689						30	%	37	%
Nutritionals **		173			167			340			196			536			172			708			231			214			445						28	%	31	%

Net Margin %	2007																					2008													Basis Point 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
Pharmaceuticals		23.9	%		26.1	%		25.0	%		24.9	%		25.0	%		15.1	%		22.2	%		29.3	%		27.3	%		28.3	%					120		330
Pharmaceuticals Excluding Specified Items		26.6	%		26.9	%		26.8	%		26.8	%		26.8	%		23.7	%		25.9	%		32.2	%		30.0	%		31.0	%					310		420
Nutritionals **		28.5	%		26.9	%		27.7	%		29.0	%		28.2	%		25.7	%		27.5	%		32.9	%		29.4	%		31.1	%					250		340

Pharmaceuticals	2007																					2008													% 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
Gross Profit	$	2,418		$	2,678		$	5,096		$	2,715		$	7,811		$	2,956		$	10,767		$	2,886		$	3,108		$	5,994						16	%	18	%
Specified Items:
Productivity Transformation Initiative		—			—			—			—			—			102			102			96			58			154						—		—
Downsizing and streamlining of worldwide operations		16			13			29			17			46			31			77			—			—			—						-100	%	-100	%

Subtotal		16			13			29			17			46			133			179			96			58			154						*		*

Gross Profit Excluding Specified Items	$	2,434		$	2,691		$	5,125		$	2,732		$	7,857		$	3,089		$	10,946		$	2,982		$	3,166		$	6,148						18	%	20	%


Pharmaceuticals	2007																					2008													% 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
Earnings Before Minority Interest and Income Taxes	$	825		$	1,005		$	1,830		$	977		$	2,807		$	664		$	3,471		$	1,229		$	1,220		$	2,449						21	%	34	%
Specified Items:
Productivity Transformation Initiative		—			—			—			—			—			110			110			98			59			157						—		—
Upfront and milestone payments and acquired in-process research and development		80			17			97			60			157			235			392			20			63			83						*		-14	%
Downsizing and streamlining of worldwide operations		16			13			29			17			46			31			77			—			—			—						-100	%	-100	%

Subtotal		96			30			126			77			203			376			579			118			122			240						*		90	%

Earnings Before Minority Interest and Income Taxes Excluding Specified Items	$	921		$	1,035		$	1,956		$	1,054		$	3,010		$	1,040		$	4,050		$	1,347		$	1,342		$	2,689						30	%	37	%

*	In Excess of +/- 200%

**	There are no specified items relating to Nutritionals in 2007 and the first quarter of 2008. In the second quarter of 2008 specified items for the Nutritionals segment are not material and do not have an impact on Gross Margin or Earnings Before Minority Interest and Income Taxes.

BRISTOL-MYERS SQUIBB COMPANY

WORLDWIDE NET SALES FROM CONTINUING OPERATIONS BY PRODUCT

QUARTERLY SALES TREND ANALYSIS

($ in millions)


	2007														2008										% 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
Continuing Operations	$	4,063	$	4,471	$	8,534	$	4,601	$	13,135	$	5,058	$	18,193	$	4,891	$	5,203	$	10,094					16	%	18	%

PHARMACEUTICALS		3,457		3,851		7,308		3,926		11,234		4,388		15,622		4,188		4,475		8,663					16	%	19	%

Cardiovascular		1,475		1,763		3,238		1,793		5,031		1,938		6,969		1,824		1,927		3,751					9	%	16	%
Plavix		938		1,189		2,127		1,254		3,381		1,374		4,755		1,308		1,387		2,695					17	%	27	%
Avapro/ Avalide		270		297		567		309		876		328		1,204		305		335		640					13	%	13	%
Pravachol		135		132		267		86		353		90		443		73		69		142					-48	%	-47	%

Virology		590		608		1,198		647		1,845		752		2,597		734		791		1,525					30	%	27	%
Reyataz		263		254		517		273		790		334		1,124		297		324		621					28	%	20	%
Sustiva Franchise^(a)		226		233		459		237		696		260		956		273		282		555					21	%	21	%
Baraclude		45		59		104		72		176		99		275		108		136		244					131	%	135	%

Oncology		355		360		715		402		1,117		445		1,562		436		474		910					32	%	27	%
Erbitux		160		162		322		185		507		185		692		187		196		383					21	%	19	%
Taxol		111		95		206		102		308		114		422		94		101		195					6	%	-5	%
Sprycel		21		35		56		46		102		56		158		66		76		142					117	%	154	%
Ixempra		—		—		—		—		—		15		15		25		26		51					—		—

Affective (Psychiatric) Disorders		408		458		866		467		1,333		511		1,844		498		575		1,073					26	%	24	%
Abilify^(b)		366		412		778		420		1,198		462		1,660		454		529		983					28	%	26	%

Immunoscience		41		55		96		60		156		75		231		87		106		193					93	%	101	%
Orencia		41		55		96		60		156		75		231		87		106		193					93	%	101	%

NUTRITIONALS		606		620		1,226		675		1,901		670		2,571		703		728		1,431					17	%	17	%
Enfamil		254		267		521		281		802		280		1,082		290		287		577					7	%	11	%

*	In excess of +/- 200%

(a)

The Sustiva Franchise includes sales of Sustiva, as well as revenue of bulk efavirenz included in the combination therapy, Atripla.

(b)

Includes alliance revenue from the co-promotional agreement with Otsuka Pharmaceutical Co., Ltd.

BRISTOL-MYERS SQUIBB COMPANY

DOMESTIC** NET SALES FROM CONTINUING OPERATIONS BY PRODUCT

QUARTERLY SALES TREND ANALYSIS

($ in millions)


	2007														2008										% Change				% Change in U.S. Total Prescription***
	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
Continuing Operations	$	2,282	$	2,583	$	4,865	$	2,683	$	7,548	$	2,874	$	10,422	$	2,823	$	2,966	$	5,789					15	%	19	%
PHARMACEUTICALS		1,944		2,243		4,187		2,302		6,489		2,503		8,992		2,459		2,625		5,084					17	%	21	%

Cardiovascular		1,045		1,279		2,324		1,316		3,640		1,426		5,066		1,367		1,437		2,804					12	%	21	%
Plavix		787		1,015		1,802		1,080		2,882		1,178		4,060		1,139		1,207		2,346					19	%	30	%	11	%	37	%
Avapro/ Avalide		163		170		333		176		509		183		692		174		184		358					8	%	8	%	-8	%	-7	%
Pravachol		57		47		104		17		121		18		139		15		10		25					-79	%	-76	%	-83	%	-82	%

Virology		319		323		642		328		970		371		1,341		378		376		754					16	%	17	%
Reyataz		143		138		281		141		422		165		587		160		159		319					15	%	14	%	13	%	12	%
Sustiva Franchise ^(a)		144		147		291		151		442		162		604		175		171		346					16	%	19	%	13	%	14	%
Baraclude		17		20		37		22		59		29		88		29		35		64					75	%	73	%	60	%	60	%

Oncology		182		187		369		208		577		230		807		237		254		491					36	%	33	%
Erbitux		158		160		318		183		501		182		683		185		193		378					21	%	19	%	N/A		N/A
Taxol		4		4		8		1		9		5		14		—		3		3					-25	%	-63	%	N/A		N/A
Sprycel		10		14		24		17		41		17		58		20		21		41					50	%	71	%	44	%	50	%
Ixempra		—		—		—		—		—		15		15		25		26		51					—		—		N/A		N/A

Affective (Psychiatric) Disorders		305		333		638		346		984		373		1,357		359		413		772					24	%	21	%
Abilify^(b)		293		322		615		329		944		361		1,305		348		403		751					25	%	22	%	19	%	17	%

Immunoscience		40		53		93		57		150		66		216		73		87		160					64	%	72	%
Orencia		40		53		93		57		150		66		216		73		87		160					64	%	72	%	N/A		N/A

NUTRITIONALS		274		275		549		304		853		275		1,128		288		273		561					-1	%	2	%
Enfamil		171		177		348		195		543		179		722		183		175		358					-1	%	3	%	N/A		N/A

**	This table presents Total Company sales on a legal entity source basis and segment and product sales on a country management reported basis. As a result, the sum of segment sales does not tie to Total Company sales.

***

The estimated total U.S. prescription change for the retail and mail order channels are calculated based on Next-Generation Prescription Services (NGPS) data on a weighted-average basis. NGPS data is provided by IMS Health, a supplier of market research for the pharmaceutical industry. The weighted-average basis reflects the fact that mail order prescriptions include a greater volume of product supplied compared to retail prescriptions, which on average are 90 days for mail order and 30 days for retail. The calculation is derived by multiplying NGPS mail order prescription data by a factor that approximates three and adding to this the NGPS retail prescriptions.

(a)

The Sustiva Franchise includes sales of Sustiva, as well as revenue of bulk efavirenz included in the combination therapy, Atripla. The change in U.S. total prescriptions growth for the Sustiva Franchise includes both branded Sustiva and Atripla prescription units.

(b)

Includes alliance revenue from the co-promotional agreement with Otsuka Pharmaceutical Co., Ltd.

BRISTOL-MYERS SQUIBB COMPANY

INTERNATIONAL** NET SALES FROM CONTINUING OPERATIONS BY PRODUCT

QUARTERLY SALES TREND ANALYSIS

($ in millions)


	2007														2008										% 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
Continuing Operations	$	1,781	$	1,888	$	3,669	$	1,918	$	5,587	$	2,184	$	7,771	$	2,144	$	2,237	$	4,305					18	%	17	%
PHARMACEUTICALS		1,513		1,608		3,121		1,624		4,745		1,885		6,630		1,729		1,850		3,579					15	%	15	%

Cardiovascular		430		484		914		477		1,391		512		1,903		457		490		947					1	%	4	%
Plavix		151		174		325		174		499		196		695		169		180		349					3	%	7	%
Avapro/ Avalide		107		127		234		133		367		145		512		131		151		282					19	%	21	%
Pravachol		78		85		163		69		232		72		304		58		59		117					-31	%	-28	%

Virology		271		285		556		319		875		381		1,256		356		415		771					46	%	39	%
Reyataz		120		116		236		132		368		169		537		137		165		302					42	%	28	%
Sustiva Franchise^(a)		82		86		168		86		254		98		352		98		111		209					29	%	24	%
Baraclude		28		39		67		50		117		70		187		79		101		180					159	%	169	%

Oncology		173		173		346		194		540		215		755		199		220		419					27	%	21	%
Erbitux		2		2		4		2		6		3		9		2		3		5					50	%	25	%
Taxol		107		91		198		101		299		109		408		94		98		192					8	%	-3	%
Sprycel		11		21		32		29		61		39		100		46		55		101					162	%	*
Ixempra		—		—		—		—		—		—		—		—		—		—					—		—

Affective (Psychiatric) Disorders		103		125		228		121		349		138		487		139		162		301					30	%	32	%
Abilify^(b)		73		90		163		91		254		101		355		106		126		232					40	%	42	%

Immunoscience		1		2		3		3		6		9		15		14		19		33					*		*
Orencia		1		2		3		3		6		9		15		14		19		33					*		*

NUTRITIONALS		332		345		677		371		1,048		395		1,443		415		455		870					32	%	29	%
Enfamil		83		90		173		86		259		101		360		107		112		219					24	%	27	%

*	In excess of +/- 200%

**	This table presents Total Company sales on a legal entity source basis and segment and product sales on a country management reported basis. As a result, the sum of segment sales does not tie to Total Company sales.

(a)

The Sustiva Franchise includes sales of Sustiva, as well as revenue of bulk efavirenz included in the combination therapy, Atripla.

(b)

Includes alliance revenue from the co-promotional agreement with Otsuka Pharmaceutical Co., Ltd.

BRISTOL-MYERS SQUIBB COMPANY

RECONCILIATION OF GAAP RESULTS OF CONTINUING OPERATIONS

TO NON-GAAP RESULTS OF CONTINUING OPERATIONS

FOR THE THREE MONTHS ENDED MARCH 31, 2007

(Unaudited, amounts in millions except per share data)


	Q1 2007
	GAAP			Specified Items		Non GAAP
Net Sales	$	4,063		—		$	4,063
Cost of products sold		1,266		(16	)		1,250

Gross profit		2,797		16			2,813

Marketing, selling and administrative		1,052		—			1,052
Advertising and product promotion		258		—			258

Total SGA		1,310					1,310

Research and development		781		(80	)		701
Provision for restructuring, net		37		(37	)		—
Equity in net income of affiliates		(126	)	—			(126	)
Other expense, net		22		—			22

Earnings from Continuing Operations Before Minority Interest & Taxes	$	733		133		$	906

Provision for income taxes		40		79			119
Minority Interest, net of taxes		141		—			141


Net Earnings - Continuing Operations	$	592		54		$	646

Interest expense on conversion of convertible debt bonds, net of tax		9					9

Net Earnings used for diluted earnings per common share calculation - Continuing Operations	$	601		54		$	655

Average Common Shares Outstanding - Diluted		1,997					1,997
Diluted Earnings per Common Share - Continuing Operations	$	0.30		0.03		$	0.33

BRISTOL-MYERS SQUIBB COMPANY

RECONCILIATION OF GAAP RESULTS OF CONTINUING OPERATIONS

TO NON-GAAP RESULTS OF CONTINUING OPERATIONS

FOR THE THREE MONTHS ENDED JUNE 30, 2007

(Unaudited, amounts in millions except per share data)


	Q2 2007
	GAAP			Specified Items*		Non GAAP
Net Sales	$	4,471		—		$	4,471
Cost of products sold		1,408		(13	)		1,395

Gross profit		3,063		13			3,076
Gross margin as a % of sales		68.5	%	0.3	%		68.8	%

Marketing, selling and administrative		1,103		—			1,103
Advertising and product promotion		354		—			354

Total SGA		1,457					1,457
SG&A as a % of sales		32.6	%	—			32.6	%

Research and development		755		(17	)		738
R&D as a % of sales		16.9	%	(0.4	)%		16.5	%

Provision for restructuring, net		7		(7	)		—
Litigation expense, net		14		(14	)		—
Gain on sale of product assets		(26	)	26			—
Equity in net income of affiliates		(128	)	—			(128	)
Other income, net		(1	)	—			(1	)

Earnings from Continuing Operations Before Minority Interest & Taxes	$	985		25		$	1,010

Provision for income taxes		203		5			208
Minority Interest, net of taxes		194		—			194


Net Earnings - Continuing Operations	$	588		20		$	608

Interest expense on conversion of convertible debt bonds, net of tax		9					9

Net Earnings used for diluted earnings per common share calculation - Continuing Operations	$	597		20		$	617

Average Common Shares Outstanding - Diluted		2,006					2,006
Diluted Earnings per Common Share - Continuing Operations	$	0.30		0.01		$	0.31

Net Earnings - Continuing Operations as a % of sales		13.2	%	0.4	%		13.6	%

Effective Tax Rate		20.6	%	—			20.6	%

*	Please refer to the Specified Items QTD tab for detail of specified items.

BRISTOL-MYERS SQUIBB COMPANY

RECONCILIATION OF GAAP RESULTS OF CONTINUING OPERATIONS

TO NON-GAAP RESULTS OF CONTINUING OPERATIONS

FOR THE THREE MONTHS ENDED SEPTEMBER 30, 2007

(Unaudited, amounts in millions except per share data)


	Q3 2007
	GAAP			Specified Items			Non GAAP
Net Sales	$	4,601			—		$	4,601
Cost of products sold		1,478			(17	)		1,461

Gross profit		3,123			17			3,140

Marketing, selling and administrative		1,105			—			1,105
Advertising and product promotion		338			—			338

Total SGA		1,443						1,443

Research and development		802			(60	)		742
Gain on sale of product assets		(247	)		247			—
Equity in net income of affiliates		(139	)		—			(139	)
Other expense, net		8			6			14

Earnings from Continuing Operations Before Minority Interest & Taxes	$	1,256			(176	)	$	1,080

Provision for income taxes		292			(82	)		210
Minority Interest, net of taxes		211			—			211


Net Earnings - Continuing Operations	$	753			(94	)	$	659

Interest expense on conversion of convertible debt bonds, net of tax		10						10

Net Earnings used for diluted earnings per common share calculation - Continuing Operations	$	763		$	(94	)	$	669

Average Common Shares Outstanding - Diluted		2,012						2,012
Diluted Earnings per Common Share - Continuing Operations	$	0.38			(0.05	)	$	0.33

BRISTOL-MYERS SQUIBB COMPANY

RECONCILIATION OF GAAP RESULTS OF CONTINUING OPERATIONS

TO NON-GAAP RESULTS OF CONTINUING OPERATIONS

FOR THE THREE MONTHS ENDED DECEMBER 31, 2007

(Unaudited, amounts in millions except per share data)


	Q4 2007
	GAAP				Specified Items			Non GAAP
Net Sales	$	5,058				—		$	5,058
Cost of products sold		1,717				(133	)		1,584

Gross profit		3,341				133			3,474

Marketing, selling and administrative		1,256				(13	)		1,243
Advertising and product promotion		465				—			465

Total SGA		1,721				(13	)		1,708

Research and development		889				(5	)		884
Acquired in-process research and development		230				(230	)		—
Provision for restructuring, net		139				(139	)		—
Equity in net income of affiliates		(131	)			—			(131	)
Other expense, net		322				(337	)		(15	)

Earnings from Continuing Operations Before Minority Interest & Taxes	$	171				857		$	1,028

Provision for income taxes		146				70			216
Minority Interest, net of taxes		217		��		—			217

Net Loss - Continuing Operations	$	(192	)			787		$	595

Interest expense on conversion of convertible debt bonds, net of tax		—							10

Net Loss used for diluted earnings per common share calculation - Continuing Operations	$	(192	)		$	787		$	605

Average Common Shares Outstanding - Diluted		1,975							2,014
Diluted Loss per Common Share - Continuing Operations	$	(0.10	)			0.40		$	0.30

BRISTOL-MYERS SQUIBB COMPANY

RECONCILIATION OF GAAP RESULTS OF CONTINUING OPERATIONS

TO NON-GAAP RESULTS OF CONTINUING OPERATIONS

FOR THE TWELVE MONTHS ENDED DECEMBER 31, 2007

(Unaudited, amounts in millions except per share data)


	Full Year 2007
	GAAP			Specified Items		Non GAAP
Net Sales	$	18,193		—		$	18,193
Cost of products sold		5,869		(179	)		5,690

Gross profit		12,324		179			12,503

Marketing, selling and administrative		4,516		(13	)		4,503
Advertising and product promotion		1,415		—			1,415

Total SGA		5,931		(13	)		5,918

Research and development		3,227		(162	)		3,065
Acquired in-process research and development		230		(230	)		—
Provision for restructuring, net		183		(183	)		—
Litigation expense, net		14		(14	)		—
Gain on sale of product assets		(273	)	273			—
Equity in net income of affiliates		(524	)	—			(524	)
Other expense, net		351		(331	)		20

Earnings from Continuing Operations Before Minority Interest & Taxes	$	3,185		839		$	4,024

Provision for income taxes		681		72			753
Minority Interest, net of taxes		763		—			763

Net Earnings - Continuing Operations	$	1,741		767		$	2,508

Interest expense on conversion of convertible debt bonds, net of tax		—					38

Net Earnings used for diluted earnings per common share calculation - Continuing Operations	$	1,741		767		$	2,546

Average Common Shares Outstanding - Diluted		1,980					2,009
Diluted Earnings per Common Share - Continuing Operations	$	0.88		0.39		$	1.27

BRISTOL-MYERS SQUIBB COMPANY

RECONCILIATION OF GAAP RESULTS OF CONTINUING OPERATIONS

TO NON-GAAP RESULTS OF CONTINUING OPERATIONS

FOR THE THREE MONTHS ENDED MARCH 31, 2008

(Unaudited, amounts in millions except per share data)


	Q1 2008
	GAAP			Specified Items		Non GAAP
Net Sales	$	4,891		—		$	4,891
Cost of products sold		1,570		(96	)		1,474

Gross profit		3,321		96			3,417

Marketing, selling and administrative		1,134		(15	)		1,119
Advertising and product promotion		319		—			319

Total SGA		1,453		(15	)		1,438

Research and development		782		(20	)		762
Provision for restructuring, net		11		(11	)		—
Equity in net income of affiliates		(164	)	—			(164	)
Other expense, net		32		(32	)		—

Earnings from Continuing Operations Before Minority Interest & Taxes	$	1,207		174		$	1,381

Provision for income taxes		330		33			363
Minority Interest, net of taxes		230		—			230

Net Earnings - Continuing Operations	$	647		141		$	788

Interest expense on conversion of convertible debt bonds, net of tax		8					8

Net Earnings used for diluted earnings per common share calculation - Continuing Operations	$	655		141		$	796

Average Common Shares Outstanding - Diluted		2,008					2,008
Diluted Earnings per Common Share - Continuing Operations	$	0.32		0.07		$	0.39

BRISTOL-MYERS SQUIBB COMPANY

RECONCILIATION OF GAAP RESULTS OF CONTINUING OPERATIONS

TO NON-GAAP RESULTS OF CONTINUING OPERATIONS

FOR THE THREE MONTHS ENDED JUNE 30, 2008

(Unaudited, amounts in millions except per share data)


	Q2 2008
	GAAP			Specified Items*			Non GAAP
Net Sales	$	5,203			—		$	5,203
Cost of products sold		1,670			(58	)		1,612

Gross profit		3,533			58			3,591

Gross margin as a % of sales		67.9	%		1.1	%		69.0	%

Marketing, selling and administrative		1,165			(22	)		1,143
Advertising and product promotion		420			—			420

Total SGA		1,585			(22	)		1,563

SG&A as a % of sales		30.5	%		(0.5	)%		30.0	%

Research and development		826			(31	)		795

R&D as a % of sales		15.9	%		(0.6	)%		15.3	%

Acquired in-process research and development		32			(32	)		—
Provision for restructuring, net		30			(30	)		—
Litigation expense, net		2			(2	)		—
Equity in net income of affiliates		(150	)		—			(150	)
Other (income)/expense, net		(13	)		2			(11	)

Earnings from Continuing Operations Before Minority Interest & Taxes	$	1,221			173		$	1,394

Provision for income taxes		258			34			292
Minority Interest, net of taxes		241			—			241

Net Earnings - Continuing Operations	$	722			139		$	861

Interest expense on conversion of convertible debt bonds, net of tax		4						4

Net Earnings used for diluted earnings per common share calculation - Continuing Operations	$	726		$	139		$	865

Average Common Shares Outstanding - Diluted		2,008						2,008
Diluted Earnings per Common Share - Continuing Operations	$	0.36			0.07		$	0.43

Net Earnings - Continuing Operations as a % of sales		13.9	%		2.6	%		16.5	%

Effective Tax Rate		21.1	%		(0.2	)%		20.9	%

*	Please refer to the Specified Items QTD tab for detail of specified items.

BRISTOL-MYERS SQUIBB COMPANY

RECONCILIATION OF GAAP RESULTS OF CONTINUING OPERATIONS

TO NON-GAAP RESULTS OF CONTINUING OPERATIONS

FOR THE SIX MONTHS ENDED JUNE 30, 2008

(Unaudited, amounts in millions except per share data)


	JUNE YTD 2008
	GAAP			Specified Items*			Non GAAP
Net Sales	$	10,094			—		$	10,094
Cost of products sold		3,240			(154	)		3,086

Gross profit		6,854			154			7,008

Gross margin as a % of sales		67.9	%		1.5	%		69.4	%

Marketing, selling and administrative		2,299			(37	)		2,262
Advertising and product promotion		739			—			739

Total SGA		3,038			(37	)		3,001

Research and development		1,608			(51	)		1,557
Acquired in-process research and development		32			(32	)		—
Provision for restructuring, net		41			(41	)		—
Litigation expense, net		2			(2	)		—
Equity in net income of affiliates		(314	)		—			(314	)
Other (income)/expense, net		19			(30	)		(11	)

Earnings from Continuing Operations Before Minority Interest & Taxes	$	2,428			347		$	2,775

Provision for income taxes		588			67			655
Minority Interest, net of taxes		471			—			471

Net Earnings - Continuing Operations	$	1,369			280		$	1,649

Interest expense on conversion of convertible debt bonds, net of tax		12						12

Net Earnings used for diluted earnings per common share calculation - Continuing Operations	$	1,381		$	280		$	1,661

Average Common Shares Outstanding - Diluted		2,007						2,007
Diluted Earnings per Common Share - Continuing Operations	$	0.69			0.14		$	0.83

Effective Tax Rate		24.2	%		(0.6	)%		23.6	%

*	Please refer to the Specified Items YTD tab for detail of specified items.

BRISTOL-MYERS SQUIBB COMPANY

SPECIFIED ITEMS

FOR THE THREE MONTHS ENDED JUNE 30, 2008 AND 2007

($ in millions)

Three months ended June 30, 2008


	Cost of products sold		Marketing selling and administrative		Research and development		Provision for restructuring, net		Litigation expense, net			Other (income)/ expense, net			Total
Productivity Transformation Initiative:
Downsizing and streamlining of worldwide operations	$	—	$	—	$	—	$	30	$	—		$	—		$	30
Accelerated depreciation and other shutdown costs		58		—		—		—		—			—			58
Process standardization implementation costs		—		21		—		—		—			—			21

		58		21		—		30		—			—			109

Litigation Matters:
Litigation settlement		—		—		—		—		2			—			2

Other:
Mead Johnson Nutritionals charges		—		1		—		—		—			—			1
Upfront and milestone payments		—		—		31		—		—			—			31
Acquired in-process research and development		—		—		32		—		—			—			32
Auction rate securities impairment		—		—		—		—		—			(2	)		(2	)

	$	58	$	22	$	63	$	30	$	2		$	(2	)		173

Income taxes on items above																(34	)

(Increase)/Decrease to Net Earnings from Continuing Operations															$	139


Three months ended June 30, 2007

	Cost of products sold		Research and development		Provision for restructuring, net		Litigation expense, net		Gain on sale of product assets			Total
Litigation Matters:
Litigation settlement	$	—	$	—	$	—	$	14	$	—		$	14

Other:
Upfront and milestone payments		—		17		—		—		—			17
Accelerated depreciation		13		—		—		—		—			13
Downsizing and streamlining of worldwide operations		—		—		7		—		—			7
Gain on sale of product assets		—		—		—		—		(26	)		(26	)

	$	13	$	17	$	7	$	14	$	(26	)		25

Income taxes on items above													(5	)

(Increase)/Decrease to Net Earnings from Continuing Operations												$	20

BRISTOL-MYERS SQUIBB COMPANY

SPECIFIED ITEMS

FOR THE SIX MONTHS ENDED JUNE 30, 2008 AND 2007

($ in millions)

Six months ended June 30, 2008


	Cost of products sold		Marketing selling and administrative		Research and development		Provision for restructuring, net		Litigation expense, net			Other (income)/ expense, net			Total
Productivity Transformation Initiative:
Downsizing and streamlining of worldwide operations	$	—	$	—	$	—	$	41	$	—		$	—		$	41
Accelerated depreciation and other shutdown costs		154		—		—		—		—			—			154
Process standardization implementation costs		—		36		—		—		—			—			36
Gain on sales and leaseback of properties		—		—		—		—		—			(9	)		(9	)

		154		36		—		41		—			(9	)		222

Litigation Matters:
Litigation settlement		—		—		—		—		2			—			2

Other:
Mead Johnson Nutritionals charges		—		1		—		—		—			—			1
Product liability		—		—		—		—		—			16			16
Upfront and milestone payments		—		—		51		—		—			—			51
Acquired in-process research and development		—		—		32		—		—			—			32
Auction rate securities impairment		—		—		—		—		—			23			23

	$	154	$	37	$	83	$	41	$	2		$	30			347

Income taxes on items above																(67	)

(Increase)/Decrease to Net Earnings from Continuing Operations															$	280


Six months ended June 30, 2007

	Cost of products sold		Research and development		Provision for restructuring, net		Litigation expense, net		Gain on sale of product assets			Total
Litigation Matters:
Litigation settlement	$	—	$	—	$	—	$	14	$	—		$	14

Other:
Upfront and milestone payments		—		97		—		—		—			97
Downsizing and streamlining of worldwide operations		—		—		44		—		—			44
Accelerated depreciation		29		—		—		—		—			29
Gain on sale of product assets		—		—		—		—		(26	)		(26	)

	$	29	$	97	$	44	$	14	$	(26	)		158

Income taxes on items above													(45	)
Change in estimate for taxes on a prior year specified item													(39	)

(Increase)/Decrease to Net Earnings from Continuing Operations												$	74

BRISTOL-MYERS SQUIBB COMPANY

SELECT BALANCE SHEET INFORMATION

($ in millions)


	March 31, 2007		June 30, 2007		September 30, 2007		December 31, 2007		March 31, 2008		June 30, 2008		September 30, 2008	December 31, 2008
Cash, cash equivalents and marketable debt securities	$	4,012	$	4,646	$	3,582	$	2,225	$	2,637	$	4,402
Short-term borrowings		241		256		1,879		1,891		1,781		1,799
Long-term debt		7,132		6,978		4,248		4,381		4,660		6,021

Net debt	$	3,361	$	2,588	$	2,545	$	4,047	$	3,804	$	3,418

Receivables, net of allowances	$	3,381	$	3,632	$	3,704	$	4,240	$	4,541	$	4,469

Stockholders’ equity		10,261		10,762		11,153		10,562		10,561		10,778

Capital expenditures and capitalized software (for the quarter ended)		202		206		185		248		250		232

BRISTOL-MYERS SQUIBB COMPANY

2008 FULL YEAR PROJECTED DILUTED EPS FROM CONTINUING OPERATIONS

EXCLUDING PROJECTED SPECIFIED ITEMS


	Full Year 2008
Projected Diluted Earnings per Common Share	$	1.36 to $1.46
Projected Specified Items:
Productivity Transformation Initiative		0.17
Upfront and milestone payments		0.03
Acquired in-process research and development		0.02
Auction rate securities impairment		0.01
Product Liability		0.01

Total		0.24

Projected Diluted Earnings per Common Share Excluding Specified Items	$	1.60 to $1.70

Gross Margin/Research and Development/Marketing, Selling and Administrative/Tax Rate Projections Excluding Specified Items

Gross margin on a GAAP basis for the six months ended June 30, 2008 was 67.9%, which included specified items of $154 million and had a 1.5% adverse impact on gross margin in aggregate. On a non-GAAP basis, for the six months ended June 30, 2008 gross margin was 69.4%. On a non-GAAP basis, based on historical trends in 2007 and for the six months ended June 30, 2008 the Company projects gross margin for the full year 2008 to be essentially flat compared to 2007, and continued improvement in its pharmaceutical margins for 2008 to 2010 driven by rationalization of its manufacturing network. There is no reasonably accessible or reliable comparable GAAP measure for this forward-looking information on gross margin. See GAAP to Non-GAAP PL Reconciliation—June YTD tab.

Research and development expenses on a GAAP basis for the six months ended June 30, 2008 were $1,640 million, which included specified items of $83 million. On a non-GAAP basis, for the six months ended June 30, 2008 research and development expenses were $1,557 million. On a non-GAAP basis, based on historical trends in 2007 and for the six months ended June 30, 2008 the Company projects research and development expenses for the full year 2008 to increase in the mid single digit range compared to 2007. The Company projects 2008 to 2010 growth to also be in the mid single digit range. There is no reasonably accessible or reliable comparable GAAP measure for this forward-looking information on research and development. See GAAP to Non-GAAP PL Reconciliation—June YTD tab.

Marketing, selling and administrative expenses, on a GAAP basis for the six months ended June 30, 2008 were $2,299 million, which included specified items of $37 million. On a non-GAAP basis, for the six months ended June 30, 2008 marketing, selling and administrative expenses were $2,262 million. On a non-GAAP basis, based on historical trends in 2007 and for the six months ended June 30, 2008 the Company projects marketing, selling and administrative expenses, for the full year 2008 to be flat compared to 2007, and remain flat from 2008 to 2010. There is no reasonably accessible or reliable comparable GAAP measure for this forward-looking information on marketing, selling and administrative expense. See GAAP to Non-GAAP PL Reconciliation—June YTD tab

The effective tax rate on a GAAP basis for the six months ended June 30, 2008 was 24.2%, which included specified items of $67 million in the tax provision, and had a 0.6% adverse impact on the effective tax rate in aggregate. On a non-GAAP basis, for the six months ended June 30, 2008 effective tax rate was 23.6%. On a non-GAAP basis, based on historical trends in 2007 and for the six months ended June 30, 2008 the Company projects effective tax rate for the full year 2008 to increase to approximately 24%. The Company projects the effective tax rate for 2009 and 2010 to increase from 2008 levels. There is no reasonably accessible or reliable comparable GAAP measure for this forward-looking information on the tax rate. See GAAP to Non-GAAP PL Reconciliation—June YTD tab.

The GAAP results for the full year 2008 would include specified items that may occur and impact results, including restructuring and other charges related to implementation of the Productivity Transformation Initiative. The productivity initiative is expected to generate approximately $1.5 billion in cost reductions and avoidance on a pre-tax basis versus the company’s previous strategic plan for 2010. Costs associated with the implementation of the Productivity Transformation Initiative are estimated to be between $0.9 billion to $1.1 billion on a pre-tax basis, with approximately $500 million expected to be incurred in 2008. The ultimate timing of the recording of the charges cannot be predicted with certainty and will be affected by the occurrence of triggering events for expense recognition under GAAP, among other factors. The GAAP results for the full year 2008 could also include charges and recoveries relating to significant legal proceedings, debt retirement costs and other charges related to new transactions, upfront and milestone payments, copromotion or alliance charges and charges for in-process research and development related to new external development transactions, gains or losses from asset disposals, other restructuring activities, impairments to marketable securities and significant tax events. For a fuller discussion of certain of the 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 Company Reports Financial Results For The Second Quarter of 2008, July 24, 2008, including “2008 Guidance” and “Use of Non-GAAP Financial Information” therein.

On a non-GAAP basis, the Company projects 2008-10 compounded growth rate in earnings per share from continuing operations to be at least 15% compared to 2007 without rebasing 2007 for the agreement to sell the ConvaTec business. There is no reasonably accessible or reliable comparable GAAP measure for this forward-looking information on earnings per share.

Bristol-Myers Squibb (BMY) 8-KBristol-myers Squibb Continues Strong Financial Performance