Businessweek

in patients with open-angle glaucoma or ocular hypertension. The company has commercial rights to tafluprost in Western Europe (excluding Germany), North America, South America, Africa, the Middle East, India and Australia. Zioptan is marketed as Saflutan in certain markets outside the United States. Also, in February 2012, the FDA approved Janumet XR, a new treatment for type 2 diabetes that combines sitagliptin, which is the active component of Januvia, with extended-release metformin. Janumet XR provides a convenient once-daily treatment option for health care providers and patients who need help to control their blood sugar. In addition, in February 2012, the FDA approved Cosopt PF, the company’s preservative-free formulation of Cosopt ophthalmic solution, indicated for the reduction of elevated intraocular pressure in appropriate patients with open-angle glaucoma or ocular hypertension. Joint Ventures The company and Sanofi Pasteur S.A. formed a joint venture to market human vaccines in Europe and to collaborate in the development of combination vaccines for distribution in the then-existing the European Union (the EU) and the European Free Trade Association. The company and Sanofi Pasteur S.A. contributed, among other things, their European vaccine businesses for equal shares in the joint venture, known as Sanofi Pasteur MSD, S.N.C. The joint venture maintains a presence, directly or through affiliates or branches, in Belgium, Italy, Germany, Spain, France, Austria, Ireland, Sweden, Portugal, the Netherlands, Switzerland and the United Kingdom and through distributors in the rest of its territory. Licenses A subsidiary of Schering-Plough Corporation (Schering-Plough) has a licensing agreement with Centocor Ortho Biotech Inc. (Centocor), a Johnson & Johnson company, to market Remicade, which is prescribed for the treatment of inflammatory diseases. Schering-Plough’s subsidiary exercised an option under its contract with Centocor for license rights to develop and commercialize Simponi, a fully human monoclonal antibody. The company had marketing rights to both products outside the United States, Japan and certain other Asian markets. Schering-Plough and Centocor revised their distribution agreement regarding the development, commercialization and distribution of both Remicade and Simponi, extending the company’s rights to market Remicade to match the duration of the company’s exclusive marketing rights for Simponi. The company and Johnson & Johnson have an agreement to amend the agreement governing the distribution rights to Remicade and Simponi. Under the terms of the amended distribution agreement, the company relinquished marketing rights for Remicade and Simponi to Johnson & Johnson in territories, including Canada, Central and South America, the Middle East, Africa and the Asia Pacific. The company retained exclusive marketing rights throughout Europe, Russia and Turkey. Distribution The company sells its human health pharmaceutical products primarily to drug wholesalers and retailers, hospitals, government agencies, and managed health care providers, such as health maintenance organizations, pharmacy benefit managers and other institutions. Human health vaccines are sold primarily to physicians, wholesalers, physician distributors, and government entities. The company sells its animal health products to veterinarians, distributors, and animal producers. The company’s over-the-counter, foot care and sun care products are sold through wholesale and retail drug, food chain and mass merchandiser outlets, as well as club stores and specialty channels. Patents, Trademarks, and Licenses The company has various key U.S. patent protection (including Patent Term Restoration and Pediatric Exclusivity) for major marketed products. It has various key U.S. patent protection for drug candidates under review in the United States by the FDA. The company also has various key U.S. patent protection for drug candidates in Phase III development. Research and Development For the Year Ended December 31, 2012, the company’s research and development expenses included $8.2 billion. The company has