VALLEY FORGE, Pa.--(BUSINESS WIRE)--Jan. 11,
2005--AmerisourceBergen Corporation's (NYSE:ABC), Chief Executive
Officer, R. David Yost, and Senior Vice President and Chief Financial
Officer, Michael D. DiCandilo, speaking at the JP Morgan Healthcare
Conference in San Francisco later today, will confirm that the Company
expects, as announced on December 15, 2004, diluted earnings per share
from continuing operations for fiscal 2005 to be between $4.00 and
$4.10. They also will affirm, as previously announced, that the
Company expects diluted earnings per share from continuing operations
from the recently completed December 2004 quarter to be $0.60 to
$0.65. AmerisourceBergen will report its earnings for the December
2004 quarter on January 25, 2005.
The Company continues to expect operating revenue growth in fiscal
year 2005 to be flat, reflecting the loss of two large customers in
fiscal 2004.
"Our current estimates for diluted earnings per share from
continuing operations for fiscal 2005 reflect a number of
assumptions," said Yost. "We are assuming the annual pharmaceutical
market growth is in the low double digits, pharmaceutical prices
appreciate approximately 5 percent in the remainder of the fiscal
year, our specialty pharmaceutical business grows with the
pharmaceutical market, and our $500 million stock repurchase program,
which is nearly 80 percent complete, is accomplished. We also expect
that the Board of Directors will authorize an additional $300 million
to repurchase the approximate number of shares which were issued last
week to redeem the $300 million, 5 percent convertible debt."
DiCandilo said, "For FY2005, AmerisourceBergen also will benefit
from lower interest expense due to recent refinancings, as well as
profitability and growth initiatives in the pharmaceutical
distribution business, such as our Optimiz(TM) asset optimization
program and the spring renewal of our generic formulary programs with
manufacturers. We also expect the added contributions from new branded
manufacturer distribution agreements throughout the year."
Concluded Yost, "Fiscal 2005 is a tough transition year for
AmerisourceBergen and the industry, but the future remains bright with
generic opportunities ahead, the implementation of the Medicare
Modernization Act in 2006, and the evolution to fee-for-service
contracts with manufacturers. Given our stated assumptions, we expect
to return to our long-term diluted earnings per share growth from
continuing operations of 15 percent or more in the September 2005
quarter."
About AmerisourceBergen
AmerisourceBergen(R) (NYSE:ABC) is one of the largest
pharmaceutical services companies in the United States. Servicing both
pharmaceutical manufacturers and healthcare providers in the
pharmaceutical supply channel, the Company provides drug distribution
and related services designed to reduce costs and improve patient
outcomes. AmerisourceBergen's service solutions range from pharmacy
automation, bedside medication safety systems, and pharmaceutical
packaging to pharmacy services for skilled nursing and assisted living
facilities, reimbursement and pharmaceutical consulting services, and
physician education. With more than $48 billion in operating revenue,
AmerisourceBergen is headquartered in Valley Forge, PA, and employs
more than 14,000 people. AmerisourceBergen is ranked #22 on the
Fortune 500 list. For more information, go to
www.amerisourcebergen.com.
FORWARD-LOOKING STATEMENTS
This news release may contain certain "forward-looking statements"
within the meaning of Section 27A of the Securities Act of 1933 and
Section 21E of the Securities Exchange Act of 1934. These statements
are based on management's current expectations and are subject to
uncertainty and changes in circumstances. Actual results may vary
materially from the expectations contained in the forward-looking
statements. Forward-looking statements may include statements
addressing AmerisourceBergen's future financial and operating results.
The following factors, among others, could cause actual results to
differ materially from those described in any forward-looking
statements: competitive pressures; the loss of one or more key
customer relationships; customer insolvencies; changes in customer
mix; changes in pharmaceutical manufacturers' pricing and distribution
policies or practices; regulatory changes; changes in U.S. government
policies (including changes in government policies pertaining to drug
reimbursement); changes in market interest rates; and other economic,
business, competitive, regulatory and/or operational factors affecting
the business of AmerisourceBergen generally.
More detailed information about these factors is set forth in
AmerisourceBergen's filings with the Securities and Exchange
Commission, including its Annual Report on Form 10-K for fiscal 2004.
AmerisourceBergen is under no obligation to (and expressly
disclaims any such obligation to) update or alter any forward looking
statements whether as a result of new information, future events or
otherwise.
CONTACT: AmerisourceBergen Corporation, Valley Forge
Michael N. Kilpatric, 610-727-7118
mkilpatric@amerisourcebergen.com
SOURCE: AmerisourceBergen Corporation