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Mylan Reports Adjusted Diluted EPS of $0.53 for the Quarter, an 18% Increase Over Prior Year Quarter; and $2.04 for the Year, a 27% Increase Over Prior Year

Mylan to Host an Investor Meeting Today

PITTSBURGH, Feb. 21, 2012 /PRNewswire/ -- Mylan Inc. today announced its financial results for the three months and year ended December 31, 2011.

Heather Bresch, Mylan's Chief Executive Officer stated: "Our excellent financial results once again demonstrate our ability to deliver significant growth while continuing to manage the inherent challenges of our industry, as well as global macroeconomic headwinds. Thanks to the dedication and hard work of our employees around the world, we delivered a very strong finish to a very strong year. On the heels of the momentum that we've built in 2011, we enter what we believe will be one of the best years in Mylan's history, confident, focused and as committed as ever to delivering on our business strategy and financial targets."

John Sheehan, Mylan's Chief Financial Officer added: "In addition to the operational excellence demonstrated, and robust cash flows realized, we exceeded our stated objective with respect to de-leveraging our balance sheet and achieved a leverage ratio of approximately 2.9:1 at the end of 2011."

Later today, Mylan will host an investor meeting in New York City. Robert J. Coury, Mylan's Executive Chairman; Heather Bresch, Chief Executive Officer; Rajiv Malik, President; Hal Korman, Chief Operating Officer; John Sheehan, Chief Financial Officer; and John Thievon, President of Mylan Specialty, will review the company's 2011 financial results, present the company's financial guidance for 2012 and provide an overview of the company's strategic vision and growth strategy for 2013 and beyond.

Total third party revenues for the three months ended December 31, 2011, increased $96.7 million, or 6.7%, to $1.53 billion from $1.43 billion in the comparable prior year period. The effect of foreign currency translation had an unfavorable impact of approximately 1% on total third party revenues primarily reflecting a stronger U.S. Dollar in comparison to the currencies of the other major markets in which Mylan operates. Translating third party revenues for the current quarter at prior year comparative period exchange rates would have resulted in year-over-year growth excluding foreign currency of approximately $115 million, or 8%.

A tabular summary of the Company's revenues for the three months and years ended December 31, 2011, and 2010, is included at the end of this release.

Third party net revenues from Mylan's Generics segment, which are derived from sales in North America, Europe, the Middle East and Africa (collectively, EMEA) and Australia, India, Japan and New Zealand (collectively, Asia Pacific) were $1.42 billion in the three months ended December 31, 2011, compared to $1.35 billion in the comparable prior year period, representing an increase of $72.7 million or 5.4% or an increase of approximately 7% when excluding the unfavorable effect of foreign currency translation.

Third party net revenues from North America were $737.1 million for the three months ended December 31, 2011, compared to $647.5 million for the comparable prior year period, representing an increase of $89.5 million or 13.8%. The increase in third party revenues was principally due to sales of new products which totaled approximately $71.4 million in the current quarter. The remaining increase was principally due to favorable volumes on existing products. The effect of foreign currency translation was insignificant within North America.

Third party net revenues from EMEA were $347.4 million for the three months ended December 31, 2011, compared to $397.0 million for the comparable prior year period, a decrease of $49.6 million, or 12.5%. Translating current quarter third party net revenues from EMEA at prior year comparative period exchange rates would have resulted in a decline in third party net revenues, excluding the effect of foreign currency, of approximately $46 million, or 12%. This decrease was mainly the result of unfavorable pricing and volume in many of the European markets in which Mylan operates, partially offset by new product launches and higher local currency revenues in Italy and Spain.

Third party net revenues in Asia Pacific were $337.9 million for the three months ended December 31, 2011, compared to $305.1 million for the comparable prior year period, an increase of $32.8 million, or 10.8%. Foreign currency translation had a negative impact on sales for the current quarter. Excluding the effect of foreign currency, calculated as described above, the increase was approximately $47 million, or 16%. This increase is primarily driven by higher third party sales from Mylan Laboratories Limited (formerly Matrix Laboratories Limited), Mylan's subsidiary in India, an increase in third party sales in Japan, as well as new product launches, mainly in Australia.

For the three months ended December 31, 2011, Mylan's Specialty segment reported third party net revenues of $104.7 million, an increase of $29.7 million, or 39.7%, from the comparable prior year period of $75.0 million. The most significant contributor to Specialty segment revenues continues to be the EpiPen(R) Auto-Injector, sales of which increased as a result of both favorable pricing and higher volumes. The EpiPen(R) Auto-Injector is the number one epinephrine auto-injector for the treatment of severe allergic reactions and maintains a market share in excess of 95% in the United States.

Gross profit for the three months ended December 31, 2011 was $644.6 million and gross margins were 42.1%. In the comparable prior year period, gross profit was $579.2 million, and gross margins were 40.4%. Gross profit for the current and prior year periods were impacted by certain purchase accounting and other special items of approximately $87.6 million and $94.4 million, respectively, which consisted primarily of amortization related to purchased intangible assets. Excluding such items, gross margins would have been approximately 48% and 47%, respectively. The increase in gross margins was primarily the result of new product introductions in North America and favorable pricing on the EpiPen(R) Auto-Injector.

Earnings from operations were $247.4 million for the quarter ended December 31, 2011, compared to $94.2 million for the comparable prior year period. Excluding the impact of purchase accounting and other special items in both periods, as mentioned above, as well as charges for litigation settlements, net, of $20.1 million and $112.8 million for the current and prior year periods, earnings from operations increased to $355.1 million in the current quarter from $301.4 million in the prior year quarter. This increase was driven by higher gross profit in the current year, mainly as a result of the increase in revenues and gross margins as discussed above, partially offset by increases in selling, general and administrative costs (SG&A).

Interest expense for the three months ended December 31, 2011, totaled $81.1 million, compared to $91.5 million for the comparable prior year period. Included in interest expense for the current quarter and the comparable prior year period are $13.0 million and $18.0 million, respectively, primarily related to the amortization of the discounts on our convertible debt instruments and 2018 Senior Notes, net of amortization of the premium on our 2020 Senior Notes.

Other (expense) income, net, was expense of $37.4 million for the three months ended December 31, 2011 compared to expense of $4.8 million in the comparable prior year period. Generally included in other (expense) income, net, are foreign exchange gains and losses and interest and dividend income. Additionally, included in the current period are charges associated with the termination of certain interest rate swaps totaling $13.9 million and the write-off of previously deferred financing fees of $20.1 million related to the refinancing of our senior credit facility which occurred in November 2011.

EBITDA, which is defined as net income (loss) (excluding the non-controlling interest and income from equity method investees) plus income taxes, interest expense, depreciation and amortization, was $334.0 million for the three months ended December 31, 2011, and $211.8 million for the comparable prior year period. After adjusting for certain items as further detailed below, adjusted EBITDA was $406.6 million for the current quarter and $373.2 million for the comparable prior year period.

For the year ended December 31, 2011, Mylan reported total revenues of $6.13 billion compared to $5.45 billion in the prior year, representing an increase of $679.3 million, or 12.5%. Revenues were favorably impacted by the effect of foreign currency translation, generally reflecting a weaker U.S. Dollar as compared to the currencies in other major markets in which Mylan operates. Translating third party revenues at prior year exchange rates would have resulted in year-over-year growth excluding foreign currency of $557 million, or 10%.

Generics third party net revenues were $5.56 billion for the year ended December 31, 2011, compared to $4.98 billion in the prior year, representing an increase of $577.4 million or 11.6% or an increase of approximately 9% when excluding the favorable effect of foreign currency translation.

Third party net revenues from North America were $2.86 billion for the year ended December 31, 2011, compared to $2.36 billion for the prior year, representing an increase of $496.1 million, or 21.0%. The increase in third party revenues was principally due to sales of new products and to a lesser extent, incremental revenue from the acquisition of Bioniche Pharma in September 2010, which together totaled approximately $427.9 million in the current year. New product revenue in 2011 was generated through approximately 50 new products in North America during 2011. The effect of foreign currency translation was insignificant within North America.

Third party net revenues from EMEA were $1.47 billion for the year ended December 31, 2011, compared to $1.55 billion for the prior year, a decrease of $79.9 million, or 5.2%. Translating current year third party net revenues from EMEA at prior year exchange rates would result in a decrease excluding the effect of foreign currency translations of approximately $146 million, or 9%. This decrease was mainly the result of unfavorable pricing and volume in many of the European markets in which Mylan operates, partially offset by new product launches throughout EMEA and a strong performance in Italy as a result of increased market penetration and successful product launches. Our growth in Italy outpaced the market in terms of both volume and sales value.

In Asia Pacific, third party net revenues were $1.24 billion for the year ended December 31, 2011, compared to $1.07 billion for the prior year, an increase of $161.2 million, or 15.0%. However, excluding the favorable effect of foreign currency translation, calculated as described above, the increase was approximately $113 million, or 11%. This increase is primarily driven by higher third party sales of anti-retroviral finished dosage form generic products, which are used in the treatment of HIV/AIDS, and active pharmaceutical ingredients by Mylan Laboratories Limited. Additionally, third party net revenues in Japan increased in 2011 as a result of favorable volumes.

Specialty reported third party net revenues for the year ended December 31, 2011 of $547.4 million, an increase of $124.6 million, or 29.5% over the prior year of $422.8 million. The increase was the result of favorable pricing and higher volumes of Dey's EpiPen Auto-Injector, and higher sales volumes of Perforomist(R) Solution, Dey's Formoterol Fumarate Inhalation Solution.

Gross profit for the year ended December 31, 2011 was $2.56 billion and gross margins were 41.8%. For the prior year, gross profit was $2.22 billion, and gross margins were 40.7%. Gross profit for both the current and prior years is impacted by certain purchase accounting and other special items as discussed above, of approximately $373.2 million, and $315.9 million, respectively. Excluding such items, gross margins would have been approximately 48% in the current year and 47% in the prior year.

Earnings from operations were $1.01 billion for the year ended December 31, 2011, compared to $721.6 million for the prior year. Excluding the impact of purchase accounting and other special items in both periods, as mentioned above, as well as charges for litigation settlements, net, of $48.6 million and $127.1 million for the current and prior years, earnings from operations increased to $1.43 billion in the current year from $1.16 billion in the prior year. The increase in operating income was driven by the increase in revenues and gross margin as discussed above; partially offset by an increase in SG&A expenses.

Interest expense for the year ended December 31, 2011 totaled $335.9 million, compared to $331.5 million in the prior year. Included in interest expense for the current year and the prior year are $49.8 million and $60.0 million primarily related to the amortization of the discounts on our convertible debt instruments and the 2018 Senior Notes, net of amortization of the premium on our 2020 Senior Notes.

Other (expense) income, net, was expense of $14.9 million for the year ended December 31, 2011 compared to expense of $34.2 million in the prior year.

EBITDA was $1.50 billion for the year ended December 31, 2011, and $1.12 billion in the prior year. After adjusting for certain items as further discussed below, adjusted EBITDA was $1.68 billion for the current year, versus $1.40 billion for the prior year, representing a 20% increase from the prior year driven by revenue growth and gross margin expansion as discussed above.

Adjusted cash provided by operating activities was $882 million for the year ended December 31, 2011, compared to $781 million for the prior year. The increase in adjusted cash provided by operating activities was the result of an increase in profitability and focus on working capital in 2011. On a GAAP basis, cash provided by operating activities was $720 million for the year ended December 31, 2011, compared to $931 million for the prior year. Capital expenditures were approximately $280 million in the current year as compared to approximately $193 million in the prior year. The increase is the result of our previously announced planned expansions and integration plans.

Mylan's leverage ratio, defined as total notional debt to adjusted EBITDA, was approximately 2.9:1 at December 31, 2011 as compared to 3.7:1 at December 31, 2010.

Mylan is disclosing non-GAAP financial measures when providing financial results. Primarily due to acquisitions, Mylan believes that an evaluation of its ongoing operations (and comparisons of its current operations with historical and future operations) would be difficult if the disclosure of its financial results were limited to financial measures prepared only in accordance with accounting principles generally accepted in the U.S. (GAAP). In addition to disclosing its financial results determined in accordance with GAAP, Mylan is disclosing non-GAAP results that exclude items such as amortization expense and other costs directly associated with the acquisitions as well as certain other expense, revenue and operating cash flow items in order to supplement investors' and other readers' understanding and assessment of the company's financial performance, because the company's management uses these measures internally for forecasting, budgeting and measuring its operating performance. In addition, the company believes that including EBITDA and supplemental adjustments applied in presenting adjusted EBITDA and our leverage ratio pursuant to our credit agreement is appropriate to provide additional information to investors to demonstrate the company's ability to comply with financial debt covenants (which are calculated using a measure similar to adjusted EBITDA) and assess the company's ability to incur additional indebtedness. Whenever Mylan uses such a non-GAAP measure, it will provide a reconciliation of non-GAAP financial measures to the most closely applicable GAAP financial measure. Investors and other readers are encouraged to review the related GAAP financial measures and the reconciliation of non-GAAP measures to their most closely applicable GAAP measure set forth below and should consider non-GAAP measures only as a supplement to, not as a substitute for or as a superior measure to, measures of financial performance prepared in accordance with GAAP.

Below is a reconciliation of GAAP net earnings attributable to Mylan Inc. and diluted GAAP EPS to adjusted net earnings attributable to Mylan Inc. and adjusted diluted EPS for the three-months and years ended December 31, 2011 and 2010 (in millions, except per share amounts):

                                                                   Three months ended December
                                                                                31,                        Year ended December 31,
                                                                   ----------------------------            -----------------------
                                                                        2011               2010                 2011                 2010
                                                                        ----               ----                 ----                 ----

      GAAP net earnings attributable to Mylan Inc. and diluted
       GAAP EPS                                                $129.5  $0.30        $2.6  $0.01        $536.8  $1.22        $223.6  $0.68
      Purchase accounting related amortization (included in
       cost of sales) (a)                                        86.8               91.6                364.8                309.2
      Litigation settlements, net                                20.1              112.8                 48.6                127.1
      Interest expense, primarily amortization of convertible
       debt discount                                             13.0               18.0                 49.8                 60.0
      Financing related costs (included in other (expense)
       income, net)                                              34.0               22.4                 34.0                 37.4
      Restructuring & other special items included in:
        Cost of sales                                             0.8                2.8                  8.4                  6.7
        Research and development expense                          0.6                4.9                  3.6                  9.9
        Selling, general and administrative expense               8.1               20.0                 44.9                 63.5
        Other (expense) income, net                               1.4               (8.8)                 0.2                  1.1
      Tax effect of the above items and other income tax
       related items                                           (67.7)             (86.9)               (198.1)              (252.8)
      Preferred dividend (b)                                        -               17.3                    -                121.6

      Adjusted net earnings attributable to Mylan Inc. and
       adjusted diluted EPS                                    $226.6  $0.53      $196.7  $0.45        $893.0  $2.04        $707.3  $1.61
                                                               ======             ======               ======               ======

        Weighted average diluted common shares outstanding (b)  429.7              439.5                438.8                438.4
                                                                =====              =====                =====                =====

                                                                Purchase accounting related amortization expense for the year ended December 31, 2011 includes a $16.2
                                                                million in-process research and development asset impairment charge. For the three months and year ended
                                                                December 31, 2010 charges totaling $9.5 million and $12.5 million, respectively,  are included in purchase
                                                                accounting related amortization expense for the amortization of the fair value adjustment on inventory
    (a)                                                         acquired in the Bioniche Pharma acquisition.

                                                                Adjusted diluted EPS for the three months and year ended December 31, 2010, includes the full effect of the
    (b)                                                         conversion of the company's preferred stock into 125.2 million shares of common stock on November 15, 2010.

Below is a reconciliation of GAAP net earnings attributable to Mylan Inc. to adjusted EBITDA for the three months and years ended December 31, 2011, and 2010 (in millions):

                                                 Three months ended December 31, Year ended December 31,
                                                 ------------------------------- -----------------------
                                                        2011                  2010      2011        2010
                                                        ----                  ----      ----        ----
     GAAP net earnings attributable to
      Mylan Inc. before preferred dividends           $129.5                 $19.8    $536.8      $345.1
     Add/(Deduct):
          Net contribution attributable to the
           noncontrolling
            interest and equity method investees         0.4                   1.0       2.0         0.5
          Income taxes                                  (1.0)                (22.8)    115.8        10.4
          Interest expense                              81.1                  91.5     335.9       331.5
          Depreciation and amortization                124.0                 122.3     510.6       435.2
     EBITDA                                           $334.0                $211.8  $1,501.1    $1,122.7
     Add Adjustments:
          Stock-based compensation expense               9.6                   7.2      42.4        31.4
          Litigation settlements, net                   20.1                 112.8      48.6       127.1
          Restructuring & other special items           42.9                  41.4      84.9       117.9
     Adjusted EBITDA                                  $406.6                $373.2  $1,677.0    $1,399.1
                                                      ======                ======  ========    ========

Today, February 21, 2012st, Mylan will host an investor meeting in New York City. The presentations will be broadcast live via webcast beginning at 1 p.m. ET and are expected to conclude at 5 p.m. ET. A replay will be available for 30 days on Mylan's website after the event's conclusion. If you are unable to access the live webcast, you can participate in listen-only mode at 877.567.9753.

To access the live webcast and view the accompanying slide presentations, visit the Investor Relations section of Mylan's website, at http://investor.mylan.com, at least 15 minutes before the presentation is scheduled to begin; click on the webcast icon to register and download or install any necessary software.

Mylan Inc. ranks among the leading generic and specialty pharmaceutical companies in the world and provides products to customers in more than 150 countries and territories. The company maintains one of the industry's broadest and highest quality product portfolios supported by a robust product pipeline; operates one of the world's largest active pharmaceutical ingredient manufacturers; and runs a specialty business focused on respiratory, allergy and psychiatric therapies. For more information about Mylan, please visit www.mylan.com. For more information about generic drugs, please visit www.ChoosingGenerics.com.

This press release includes statements that constitute "forward-looking statements", including with regard to the Company's future operations. These statements are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Because such statements inherently involve risks and uncertainties, actual future results may differ materially from those expressed or implied by such forward-looking statements. Factors that could cause or contribute to such differences include, but are not limited to: challenges, risks and costs inherent in business integrations and in achieving anticipated synergies; the effect of any changes in customer and supplier relationships and customer purchasing patterns; the ability to attract and retain key personnel; changes in third-party relationships; the impacts of competition; changes in economic and financial conditions of the Company's business; uncertainties and matters beyond the control of management; inherent uncertainties involved in the estimates and judgments used in the preparation of financial statements, and the providing of estimates of financial measures, in accordance with GAAP and related standards. These cautionary statements should be considered in connection with any subsequent written or oral forward-looking statements that may be made by the Company or by persons acting on its behalf and in conjunction with its periodic SEC filings. In addition, please refer to the cautionary statements and risk factors set forth in the Company's Report on Form 10-Q, for the quarter ended September 30, 2011, and in its other filings with the SEC. Further, uncertainties or other circumstances, or matters outside of the Company's control between the date of this release and the date that its Form 10-K for the year ended December 31, 2011, is filed with the SEC could potentially result in adjustments to reported results. The Company undertakes no obligation to update statements herein for revisions or changes after the date of this release.

                                              Mylan Inc. and Subsidiaries
                                    Condensed Consolidated Statements of Operations
                                  (Unaudited; in thousands, except per share amounts)

                                                               Three Months Ended              Year Ended December
                                                                  December 31,                          31,
                                                              -------------------              --------------------
                                                               2011             2010            2011            2010
                                                               ----             ----            ----            ----

      Revenues:
        Net revenues                                     $1,527,062       $1,424,618      $6,106,277      $5,404,266
        Other revenues                                        4,172            9,881          23,548          46,256
                                                              -----            -----          ------          ------

      Total revenues                                      1,531,234        1,434,499       6,129,825       5,450,522
      Cost of sales                                         886,636          855,307       3,566,461       3,233,125
                                                            -------          -------       ---------       ---------

      Gross profit                                          644,598          579,192       2,563,364       2,217,397
                                                            -------          -------       ---------       ---------

      Operating expenses:
        Research and development                             76,077           82,070         294,728         282,146
        Selling, general and administrative                 301,026          290,189       1,214,631       1,086,609
        Litigation settlements, net                          20,099          112,759          48,556         127,058
                                                             ------          -------          ------         -------

           Total operating expenses                         397,202          485,018       1,557,915       1,495,813
                                                            -------          -------       ---------       ---------

      Earnings from operations                              247,396           94,174       1,005,449         721,584
      Interest expense                                       81,108           91,477         335,944         331,462
      Other expense, net                                    (37,412)          (4,740)        (14,869)        (34,178)
                                                            -------           ------         -------         -------

      Earnings (loss) before income taxes and
       noncontrolling interest                              128,876           (2,043)        654,636         355,944
      Income tax provision (benefit)                         (1,018)         (22,843)        115,833          10,402
                                                             ------          -------         -------          ------

      Net earnings                                          129,894           20,800         538,803         345,542
        Net earnings attributable to the
         noncontrolling interest                               (403)            (952)         (1,993)           (427)
                                                               ----             ----          ------            ----
      Net earnings attributable to Mylan Inc.
       before preferred dividends                           129,491           19,848         536,810         345,115
      Preferred dividends (a)                                     -           17,259               -         121,535
                                                                ---           ------             ---         -------
      Net earnings attributable to Mylan Inc.
       common shareholders                                 $129,491           $2,589        $536,810        $223,580
                                                           ========           ======        ========        ========

      Earnings per common share attributable to
       Mylan Inc.
        common shareholders:
          Basic                                               $0.30            $0.01           $1.25           $0.69
                                                              =====            =====           =====           =====
          Diluted                                             $0.30            $0.01           $1.22           $0.68
                                                              =====            =====           =====           =====

      Weighted average common shares outstanding
       (a):

          Basic                                             426,560          372,401         430,839         324,453
                                                            =======          =======         =======         =======
          Diluted                                           429,691          376,876         438,785         328,979
                                                            =======          =======         =======         =======

                                              The three and twelve months ended December 31, 2010 includes the weighted average effect of
                                              the Preferred Stock Conversion into approximately 125.2 million shares of Mylan common
    (a)                                       stock on November 15, 2010.
                             Mylan Inc. and Subsidiaries
                        Condensed Consolidated Balance Sheets
                              (Unaudited; in thousands)

                              December 31,
                                   2011                  December 31, 2010
                             -------------               -----------------

     Assets:
        Current
         assets:
          Cash and
           cash
           equivalents             $375,056                              $662,052
          Restricted
           cash                       9,274                                23,972
          Marketable
           securities                30,686                                29,085
          Accounts
           receivable,
           net                    1,426,438                             1,157,081
          Inventories             1,396,742                             1,240,271
          Other
           current
           assets                   330,648                               446,982
                                    -------                               -------
               Total
                current
                assets            3,568,844                             3,559,443
        Intangible
         assets,
         net                      2,630,747                             2,501,150
        Goodwill                  3,517,935                             3,599,334
        Other non-
         current
         assets                   1,880,617                             1,876,877
                                  ---------                             ---------
     Total
      assets                    $11,598,143                           $11,536,804
                                ===========                           ===========

     Liabilities:
        Current
         liabilities             $2,563,156                            $1,809,612
        Long-term
         debt (b)                 4,479,080                             5,263,376
        Other non-
         current
         liabilities              1,051,125                               848,415
                                  ---------                               -------
     Total
      liabilities                 8,093,361                             7,921,403
      Noncontrolling
      interest                       13,007                                13,522
     Mylan Inc.
      shareholders'
      equity                      3,491,775                             3,601,879
                                  ---------                             ---------
     Total
      liabilities
      and
      equity                    $11,598,143                           $11,536,804
                                ===========                           ===========
        At December 31, 2011, long-term debt of approximately $594.0 million
        related to the Senior Convertible Notes and $93.8 million of Term
    (b) Loans are classified within current liabilities.
                       Mylan Inc. and Subsidiaries
                     Summary of Revenues by Segment
                        (Unaudited; in millions)

                         Three Months Ended                  Year Ended
                            December 31,                    December 31,
                            ------------                    ------------
                         2011           2010           2011           2010
                         ----           ----           ----

    Generics:
      Third party
       net sales
        North
         America       $737.1         $647.5       $2,857.4       $2,361.3
        EMEA            347.4          397.0        1,466.0        1,545.9
        Asia Pacific    337.9          305.1        1,235.5        1,074.2
                        -----          -----        -------        -------
         Total third
          party net
          sales       1,422.4        1,349.6        5,558.9        4,981.4

      Other third
       party
       revenues           3.6            9.2           20.4           41.1
                          ---            ---           ----           ----
         Total third
          party
          revenues    1,426.0        1,358.8        5,579.3        5,022.5

      Intersegment
       revenues           1.3            5.8            2.5           40.1
                          ---            ---            ---           ----
         Generics
          total
          revenues    1,427.3        1,364.6        5,581.8        5,062.6

    Specialty:
      Third party
       net sales        104.7           75.0          547.4          422.8
      Other third
       party
       revenues           0.5            0.7            3.1            5.2
                          ---            ---            ---            ---
         Total third
          party
          revenues      105.2           75.7          550.5          428.0

      Intersegment
       revenues          18.6           14.4           70.0           61.8
                         ----           ----           ----           ----
         Specialty
          total
          revenues      123.8           90.1          620.5          489.8

    Elimination
     of
     intersegment
     revenues           (19.9)         (20.2)         (72.5)        (101.9)
    Consolidated
     total
     revenues        $1,531.2       $1,434.5       $6,129.8       $5,450.5
                     ========       ========       ========       ========
                       Mylan Inc. and Subsidiaries
         Reconciliation of Cash Provided by Operating Activities
                            and Leverage Ratio
             (Unaudited; in millions, except leverage ratio)

    Reconciliation of cash provided by
     operating activities

                                                           Year ended
                                                          December 31,
                                                         -------------
                                                      2011          2010
                                                      ----          ----

    GAAP cash provided by operating
     activities                                       $720          $931

    Add/(Deduct):
         Payment of legal settlements                   81            78
         Payment of interest rate swap
          settlement                                    14            33
         Reimbursement to Merck KGaA/(Tax
          benefit) on
            the tax benefit related to indemnified
             litigation                                 60           (51)
         Income tax refund                               -           (99)
         Adjustments for timing of cash receipts         7           (90)
         Other items                                     -           (21)
                                                       ---           ---

    Adjusted cash provided by operating
     activities                                       $882          $781
                                                      ====          ====






    Reconciliation of leverage ratio
                                                       December 31,
                                                       ------------
                                                      2011          2010
                                                      ----          ----
    GAAP reported debt balances
          Long term debt, including current
           portion                                  $5,168        $5,268
          Short term borrowings                        128           163
                                                       ---           ---
    Total GAAP reported debt balances                5,296         5,431

     Add/(Subtract):
         Net discount/(premium) on various debt
          issuances                                    100           150
         Conversion feature on cash convertible
          notes                                       (460)         (472)
         Fair value of hedged debt                     (30)            -
                                                       ---           ---
    Total debt at notional amounts                  $4,906        $5,109
                                                    ======        ======

    Leverage ratio                                    2.9x          3.7x
                                                      ====          ====

CONTACT: Nina Devlin (Media), +1-917-262-2973; Kris King (Investors),+1-724-514-1813

Web site: http://www.mylan.com/

Posted: February 2012


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