SafeSafe HarborHarbor StatementStatement ThisThis presspress releaserelease containscontains "forward"forward-looking-looking statements"statements" asas defineddefined inin thethe PrivatePrivate SecuritiesSecurities LitigationLitigation ReformReform ActAct ofof 1995.1995. TheseThese statementsstatements areare basedbased onon currentcurrent expectationsexpectations ofof futurefuture events.events. IfIf underlyingunderlying assumptionsassumptions proveprove inaccurateinaccurate oror unknownunknown risksrisks oror uncertaintiesuncertainties materialize,materialize, actualactual resultsresults couldcould varyvary materiallymaterially fromfrom JohnsonJohnson && Johnson'sJohnson's expectationsexpectations andand projections.projections. RisksRisks andand uncertaintiesuncertainties includeinclude generalgeneral industryindustry conditionsconditions andand competition;competition; economiceconomic conditions,conditions, suchsuch asas interestinterest raterate andand currencycurrency exchangeexchange raterate fluctuations;fluctuations; technologicaltechnological advancesadvances andand patentspatents attainedattained byby competitors;competitors; challengeschallenges inherentinherent inin newnew productproduct dedevelopment,velopment, includingincluding obtainingobtaining regulatoryregulatory approvals;approvals; domesticdomestic andand foreignforeign healthhealth carecare reformsreforms andand governmentalgovernmental lawslaws andand regulations;regulations; andand trendstrends towardtoward healthhealth carecare costcost containment.containment. AA furtherfurther listlist andand descriptiondescription ofof thesethese risks,risks, uncertaintiesuncertainties andand otherother factorsfactors cancan bebe foundfound inin ExhibitExhibit 9999 ofof thethe Company'sCompany's AnnualAnnual ReportReport onon FormForm 10-K10-K forfor thethe fiscalfiscal yearyear endedended DecemberDecember 30,30, 2007.2007. CopiesCopies ofof thisthis FormForm 10-K,10-K, asas wellwell asas subsequentsubsequent filings,filings, areare availableavailable ononlineline atat www.sec.gov,www.sec.gov, www.jnj.comwww.jnj.com oror onon requestrequest fromfrom JohnsonJohnson && Johnson.Johnson. JohnsonJohnson && JohnsonJohnson doesdoes notnot undertakeundertake toto updateupdate anyany forward-lookingforward-looking statementsstatements asas aa resultresult ofof newnew informationinformation oror futurefuture eventsevents oror developments.developments. ContentContent OverviewOverview •• OperatingOperating ModelModel •• HistoricalHistorical PerformancePerformance •• SegmentSegment OverviewOverview •• SecondSecond QuarterQuarter 20082008 ResultsResults ••Summar Summaryy STRATEGICSTRATEGIC PRINCIPLESPRINCIPLES OperatingOperating ModelModel •• BroadlyBroadly BasedBased inin HumanHuman HealthHealth CareCare •• ManagedManaged forfor thethe LongLong TermTerm •• DecentralizedDecentralized ManagementManagement ApproachApproach •• PeoplePeople andand ValuesValues BroadlyBroadly BasedBased-- World’sWorld’s MostMost ComprehensiveComprehensive HealthHealth CareCare CompanyCompany •• 20072007 SalesSales ofof $61.1$61.1 BillionBillion •• OverOver 250250 operatingoperating companiescompanies worldwideworldwide •• LeadershipLeadership positionspositions inin ethicalethical andand OTCOTC pharmaceuticals,pharmaceuticals, medical/surgicalmedical/surgical products,products, diagnosticsdiagnostics andand aa varietyvariety ofof consumerconsumer productsproducts BroadlyBroadly BasedBased –– AA StrategicStrategic AdvantageAdvantage 20072007 SegmentSegment OperatingOperating Profit*Profit* $15.9B $14.6B $6.0 % to Sales $5.7 2006 25.7% 2007 26.0% $7.6 $6.9 $2.0 $2.3 2006 2007 Consumer Pharm MD&D *Proforma including net impact of PCH; Refer to 3.2.07 8K filing for 2006 PCH impact to operating profit; Excludes IPR&D and other special items BroadlyBroadly BasedBased –– AA StrategicStrategic AdvantageAdvantage •• RapidlyRapidly capitalizecapitalize onon attractiveattractive opportunitiesopportunities •• KnowledgeKnowledge andand capabilitycapability transfertransfer •• DevelopmentDevelopment ofof convergingconverging technologiestechnologies •• AcceleratingAccelerating growthgrowth throughthrough geographicgeographic breadthbreadth •• LeveragingLeveraging scalescale OperatingOperating ModelModel •• BroadlyBroadly BasedBased inin HumanHuman HealthHealth CareCare •• ManagedManaged forfor thethe LongLong TermTerm •• DecentralizedDecentralized ManagementManagement ApproachApproach •• PeoplePeople andand ValuesValues LeadershipLeadership inin MajorMajor MarketsMarkets JohnsonJohnson && JohnsonJohnson #1#1 oror #2*#2* Anti-AnemiaAnti-Anemia Lo-CalLo-Cal SweetenersSweeteners AntipsychoticsAntipsychotics BloodBlood GlucoseGlucose MonitoringMonitoring Anti-TNFAnti-TNF BloodBlood ScreeningScreening && TypingTyping HormonalHormonal ContraceptivesContraceptives ElectrophysiologyElectrophysiology diagnosticsdiagnostics andand QuinoloneQuinolone Anti-InfectiveAnti-Infective catheterscatheters CoronaryCoronary StentsStents DisposableDisposable ContactContact LensesLenses MinimallyMinimally InvasiveInvasive SurgerySurgery OTCOTC PharmaceuticalsPharmaceuticals OrthopaedicsOrthopaedics SanitarySanitary ProtectionProtection SuturesSutures WoundWound CareCare BabyBaby && KidsKids CareCare *As of Dec 2007 GrowthGrowth StrategiesStrategies •• OrganicOrganic growthgrowth –– StrongStrong internalinternal R&DR&D capabilitycapability –– NurtureNurture newnew businesses;businesses; PrunePrune wherewhere appropriateappropriate •• StrategicStrategic partneringpartnering andand licensinglicensing •• SelectiveSelective acquisitionsacquisitions –– EnhanceEnhance existingexisting businessbusiness –– NewNew platformplatform forfor growthgrowth 19971997––20072007 TotalTotal ResearchResearch ExpenseExpense $U.S.$U.S. BillionsBillions $7.7 $2.4 1997 2007 10.6% Percent to Sales 12.6% The company has adopted SFAS No. 123(R) Shared Based Payment, applying the modified retrospective transition method. 1997-2005 reported financial statements have been restated accordingly. PartnerPartner ofof ChoiceChoice •• OverOver 100100 newnew thirdthird partyparty relationshipsrelationships annuallyannually •• InIn househouse ventureventure capitalcapital (JJDC)(JJDC) –– OverOver $475$475 millionmillion investedinvested asas ofof 20072007 inin aa broadbroad arrayarray ofof companiescompanies •• FocusFocus onon earlyearly stagestage productproduct developmentdevelopment MergersMergers && AcquisitionsAcquisitions –– RecentRecent ExamplesExamples StrategicStrategic movesmoves toto enhanceenhance ourour growthgrowth raterate andand createcreate long-termlong-term valuevalue forfor ourour shareholdersshareholders TypicallyTypically modestmodest inin size:size: overover 6060 inin thethe lastlast decadedecade •• ÅÅmicmic (6/08)(6/08) -- aa privatelyprivately heldheld SwedishSwedish developerdeveloper ofof inin vitrovitro diagnosticdiagnostic (IVD)(IVD) technologiestechnologies forfor useuse inin Point-of-CarePoint-of-Care (POC)(POC) andand near-patientnear-patient settingssettings •• Disc-O-TechDisc-O-Tech MedicalMedical Technologies,Technologies, Ltd.Ltd. (12/07)(12/07) -- AcquisitionAcquisition ofof certaincertain assets,assets, includingincluding intellectualintellectual propertyproperty rights,rights, relatedrelated toto thethe treatmenttreatment ofof vertebralvertebral compressioncompression fracturesfractures fromfrom Disco-o-TechDisco-o-Tech MedicalMedical Technologies,Technologies, aa privatelyprivately heldheld company,company, andand itsits subsidiarysubsidiary •• EnsureEnsure Medical,Medical, Inc.Inc. (7/06)(7/06) -- AcquisitionAcquisition ofof EnsureEnsure Medical,Medical, aa privatelyprivately heldheld companycompany willwill provideprovide CordisCordis withwith aa developmentdevelopment stagestage femoralfemoral arteryartery closureclosure devicedevice (ACD)(ACD) andand relatedrelated IPIP andand know-howknow-how •• ColBarColBar LifeScienceLifeScience Ltd.Ltd. (7/06)(7/06) -- AcquisitionAcquisition ofof ColBarColBar LifeScience,LifeScience, anan IsraeliIsraeli ventured-backed,ventured-backed, privatelyprivately heldheld medicalmedical devicedevice companycompany withwith expertiseexpertise inin collagen-basedcollagen-based productsproducts MergersMergers && AcquisitionsAcquisitions –– RecentRecent ExamplesExamples •• VascularVascular ControlControl SystemsSystems (5/06)(5/06) -- AcquiredAcquired aa ventureventure fundedfunded privatelyprivately heldheld companycompany thatthat developeddeveloped technologytechnology thatthat willwill bebe usedused forfor thethe treatmenttreatment ofof fibroidsfibroids andand dysfunctionaldysfunctional uterineuterine bleedingbleeding •• GroupeGroupe VendomeVendome SASA (5/06)(5/06) -- JohnsonJohnson && JohnsonJohnson ConsumerConsumer FranceFrance SASSAS acquiredacquired GroupeGroupe Vendome,Vendome, aa privatelprivatelyy heldheld FrenchFrench marketermarketer ofof adultadult andand babybaby skinskin carecare productsproducts •• FutureFuture MedicalMedical SystemsSystems GroupGroup NVNV (FMS)(FMS) (3/06)(3/06) -- TheThe acquisitionacquisition ofof FMS,FMS, willwill allowallow DePuyDePuy MitekMitek toto enteenterr thethe fluidfluid managementmanagement andand shavershaver marketsmarkets andand increaseincrease DePuyDePuy Mitek’sMitek’s proproductduct offeringsofferings inin thethe arthroscopicarthroscopic surgicalsurgical marketmarket •• AnimasAnimas CorporationCorporation (2/06)(2/06) -- AcquisitionAcquisition ofof AnimasAnimas Corporation,Corporation, anan insulininsulin deliverydelivery company,company, affordsaffords