Second Quarter and Half Year Results 2010

Second Quarter and Half Year Results 2010

Revenue for the second quarter increased by 1 percent at constant
exchange rates (CER) to $8,178 million.

-Revenue in markets outside the US increased by 5 percent at CER,
largely due to the 16 percent increase in Emerging Markets.

-US revenue declined by 4 percent at CER, chiefly as a result of generic
competition for Toprol-XL, Pulmicort Respules and Casodex.

-Crestor sales increased in the second quarter by 23 percent at CER.

Core operating profit in the second quarter was $3,650 million,
unchanged at CER, as lower other operating income offset increased
revenue and lower operating costs.   

Core EPS in the second quarter increased by 9 percent at CER to $1.79.

-Core EPS benefited from lower net finance expense and a lower effective
tax rate compared with last year.

Reported EPS in the second quarter increased by 22 percent at CER to
$1.46.    

-Higher restructuring costs this quarter were more than offset by legal
provisions in the prior period.

Crestor patent upheld by US Court in a ruling announced on 29 June
2010.  

The Board has recommended a first interim dividend of $0.70.  Target for
net share repurchases is increased to $2 billion for 2010. (see page 3).

Core EPS target for the full year increased to the range of $6.35 to
$6.65.

(Table included in attached pdf)

David Brennan, Chief Executive Officer, said:  “Our second quarter
performance reflects continued strong growth in our Emerging Markets and
good performance for key brands Crestor, Seroquel and Symbicort.  While
revenue and Core EPS comparisons become more challenging in the second
half of the year, we have increased our full year financial targets.”

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