8-KEarnings & ResultsFinancial EventsExhibits & Filings

PFIZER INC 8-K Report, Financial Results (Jan 19, 2005)

Filed January 19, 2005For Securities:PFE

Summary

Pfizer Inc. (PFE) has filed an 8-K report detailing its fourth quarter 2004 financial results and a significant asset impairment. The company announced its Q4 2004 financial performance via a press release, which is incorporated by reference into this filing. Investors should note the impact of a $691 million non-cash charge related to an impairment of an indefinite-lived intangible asset associated with Depo Provera. This impairment was driven by the unexpected entry of a generic competitor in the U.S. market for Depo Provera, a long-acting injectable contraceptive, and a significant labeling change requiring a more prominent 'black box' warning concerning potential bone mineral density loss. This charge, amounting to $420 million net of tax, was recorded in the fourth quarter of 2004 and directly impacts the company's reported financial condition for the period.

Key Highlights

  • 1Pfizer Inc. reported its fourth quarter 2004 financial results on January 19, 2005.
  • 2A significant non-cash impairment charge of $691 million ($420 million net of tax) was recorded for the fourth quarter of 2004.
  • 3The impairment relates to an indefinite-lived intangible asset for Depo Provera, a contraceptive.
  • 4Key drivers for the Depo Provera impairment include the unexpected entry of a generic competitor in the U.S. market.
  • 5A 'black box' warning update for Depo Provera, highlighting potential bone mineral density loss, also contributed to the impairment.
  • 6The press release containing the detailed financial results for Q4 2004 is filed as an exhibit to this 8-K.
  • 7The company acquired Pharmacia Corporation in April 2003, which included the Depo Provera asset.

Frequently Asked Questions

The main financial event reported is Pfizer's announcement of its fourth quarter 2004 financial results and a significant $691 million non-cash impairment charge related to its Depo Provera asset.

The impairment charge for Depo Provera was caused by two primary factors: the unexpected entry of a generic competitor into the U.S. market and a significant change to the drug's labeling, which includes a 'black box' warning about potential loss of bone mineral density.

Pfizer recorded a non-cash charge of $691 million, which amounts to $420 million after tax, in the fourth quarter of 2004 due to the impairment of the Depo Provera intangible asset.

The detailed financial results are provided in a press release issued by Pfizer on January 19, 2005, which is included as Exhibit 99 to this Form 8-K filing and is incorporated by reference.