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2017 Health for Humanity Report Progress in Citizenship & Sustainability Our JLABS @ TMC in Houston Boasts the Largest JLABS Footprint in the U.S

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2017 Health for Humanity Report Progress in Citizenship & Sustainability Our JLABS @ TMC in Houston Boasts the Largest JLABS Footprint in the U.S 2017 Health for Humanity Report Progress in Citizenship & Sustainability Our JLABS @ TMC in Houston boasts the largest JLABS footprint in the U.S.. Contents About Johnson & Johnson 3 Better Health for All 26 Responsible Business Practices 101 Johnson & Johnson At a Glance 3 World Without Disease 28 Product Quality, Safety & Reliability 102 Our Brands 3 Access to Healthcare 37 Ethics & Transparency 109 Strengthening Health Systems 42 Human Rights 117 Message from Alex Gorsky 5 Community Engagement 46 Information Security & Privacy 119 Responsible Supply Base 121 2017 Year In Brief 7 Innovation 50 Innovating How We Serve 51 Appendix 128 Sustainability Approach 8 Innovating How We Work 55 About This Report 128 Sustainability Governance 9 Independent Assurance Statements 130 Setting Priorities 11 Our People 57 Priority Topics Assessment 136 Our Value Chain 12 Commitment to Employees 60 GRI Index 139 Stakeholder Engagement 13 Diversity & Inclusion 68 UNGC Index 160 Employee Health & Wellness 73 Data Summary 164 Progress on Commitments 16 Employee Safety 75 Health for Humanity 2020 Goals 16 References 179 UN SDG Commitments 22 Environmental Health 79 EHS&S Governance 81 Optimizing Our Operations 83 Product Sustainability 95 2017 Health for Humanity Report 3 About Johnson & Johnson About Message from Alex Gorsky Johnson & Johnson At a Glance Johnson & Johnson is the largest and most diversified healthcare company in the world. We are 134,000 ~260 Year In Brief employees in 60 countries, united by a common purpose: to change the trajectory of health for humanity. We operating companies have been caring for people for over 130 years. This heritage of delivering trusted products and services drives Sustainability our three business segments: Consumer, Medical Devices and Pharmaceutical. GRI 102-1; 102-2 Approach The Johnson & Johnson Family of The Johnson & Johnson Medical The Janssen Pharmaceutical ~134,000 Progress on employees Commitments Consumer Companies offers the Devices Companies have Companies of Johnson & world’s largest range of consumer made significant contributions Johnson address some of the health products. From baby care to surgery for more than a most devastating and complex Better Health for All and oral care to beauty, health and century. This group is comprised diseases of our time, focusing on healing, we anticipate needs and of our surgical, orthopaedic, six therapeutic areas: immunology, ~60 create solutions and experiences cardiovascular disease and infectious diseases and vaccines, Innovation countries of operation to help people live healthy, vibrant medical specialty businesses and neuroscience, oncology, lives. eye health fields. Representing cardiovascular and metabolism, Our People the most comprehensive surgical and pulmonary hypertension. GRI 102-4; 102-6; 102-7 2017 Sales technology and specialty solutions By investing in a transformative Environmental $13,602 million business in the world, the group future, we are changing the Health offers an unparalleled breadth way diseases are prevented, $76,450 Million of products, services, programs intercepted, treated and cured. Total Sales Responsible and R&D capabilities directed Business at advancing patient care while 2017 Sales Practice delivering clinical and economic $36,256 million value to healthcare systems Appendix worldwide. $1,300 Million Net Earnings References 2017 Sales $26,592 million $139.72 Our global headquarters are located in New Brunswick, New Jersey, USA. Johnson & Johnson has been listed Market Price Per Share, year-end close on the New York Stock Exchange since 1944 under the symbol JNJ. For changes in our business during the reporting period, please visit page 71 of our 2017 Annual Report. GRI 102-3; 102-5 $10,600 Million R&D Expense 2017 Health for Humanity Report 4 Our Brands About GRI 102-2 Message from Every day, we touch millions of lives with our products. Following are select brands that represent the Alex Gorsky diversity of the Johnson & Johnson product portfolio in our three business segments, spanning the entire continuum of healthcare. Year In Brief Sustainability Consumer Pharmaceutical Medical Devices Approach Progress on Commitments Better Health for All Innovation Our People Environmental Health Responsible Business Practice Appendix References 2017 Health for Humanity Report 5 Message from Alex Gorsky About GRI 102-14 Message from It was created with the stroke of a pen in 1886. Alex Gorsky James Wood Johnson, who co-founded the company with his brother Edward Year In Brief Mead Johnson, handcrafted one the world’s most trusted logos. James wanted the world to know just how personally and emotionally connected the two were to Sustainability the company’s most important reason for being—improving human health. So, he Approach decided to use the family signature. Progress on Johnson & Johnson. Commitments Placing their name on the company’s products was the ultimate measure of accountability. It was a way of holding themselves responsible for their—and Better Health their company’s—every action. In time, it became not just a trademark, but a mark for All that people learned they could trust. Because, after all, trust and behavior go hand in hand. Innovation Serving generations of people with integrity, caring and compassion remains our greatest privilege and responsibility. Every day, through our words and actions, Alex and Pat Gorsky in Valmiki Basti, one of the oldest communities in New Delhi, India, where they Our People visited the homes of mMitra families. we work tirelessly to earn our place in hearts, minds, hospitals and households everywhere. Much like the founding brothers—who were later joined by their Environmental Our mMitra service immediately comes to mind. mMitra is an innovative Health brother, Robert Wood Johnson—we continue to build on our reputation and the Johnson & Johnson name through accountability and transparency. mobile-messaging program that sends vital health information to expectant and new mothers living in low-income urban communities in India. The impact is Responsible And that’s exactly what our 2017 Health for Humanity Report is all about. irrefutable—mMitra has positively impacted the lives of one million women, and Business their children. This service has had a transformative effect. And it earned us a top Practice It’s the story of our progress—our environmental, social and governance efforts— spot on Fortune’s 2017 Change the World list. as we relentlessly drive for better health and create long-term value for you, our Appendix shareholders. It’s our way of demonstrating how we work to track and deliver on The report also shares our unwavering commitment to healthy minds, bodies our commitments. and environments. References See, for example, how we’re eradicating and preventing disease. We’re making great progress toward our Health for Humanity 2020 Goals and United Nations Sustainable Development Goals focus areas. Our strong legacy We’ve achieved great milestones as a company this year in our efforts to make HIV of environmental stewardship, for example, continued in 2017 when our site in history with the initiation of the first efficacy study for a preventative vaccine. I’m Helsingborg, Sweden became the first Johnson & Johnson site receiving carbon- encouraged every time I reflect on how far we’ve come since the 1980s with HIV, neutral status for all energy sources across manufacturing, R&D and warehouse once considered a death sentence. All of us are humbled to be a part of the efforts facilities1 -a historic achievement that improves human health while protecting the to treat and protect—even, one day, prevent—HIV. environment and natural resources. I’m also proud of how we’re reimagining the way that care is delivered and expanding access for the world’s most vulnerable populations. 2017 Health for Humanity Report 6 Stories like these inspire and motivate us every day. About While we’re pleased to share the progress we’ve made in this report, we recognize there’s more work to be done. And I’m confident that we’ve got the best people Message from in place to continue our sustainability stewardship and commitment to being Alex Gorsky responsible global citizens—consistent with the values outlined in Our Credo. Year In Brief The Health for Humanity Report is the story of us. It showcases our commitment to changing the trajectory of health for humanity. This sense of purpose has helped us build on our company’s good name since the Johnson brothers, quite Sustainability literally, put theirs on the company in 1886. Approach I believe they’d be proud to put it on this report, too. Progress on Commitments Better Health for All Innovation Alex Gorsky Chairman, Board of Directors Our People and Chief Executive Officer Environmental Health Watch Video Responsible Business Practice Appendix References 2017 Health for Humanity Report 7 2017 Year In Brief About Message from Alex Gorsky 51% Year In Brief of supplier spend 1.2 billion represented by Recognized Sustainability VERMOX (mebendazole) doses suppliers enrolled as leaders in vaccine R&D by the Approach donated since 2006* in Sustainable Access to Vaccines Index Procurement Program* Progress on Commitments Better Health for All 45% JULUCA of Manager and (dolutegravir and 25% above talent 37,000 of Company’s rilpivirine), developed Innovation patients in 95 countries provided movement was electricity use from in collaboration with access to MDR-TB therapy with across function, renewable energy ViiV Healthcare, SIRTURO (bedaquiline)*
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