A PRESENTATION ON

GlaxoSmithKline Pharmaceuticals Ltd

ABOUT GSK

GlaxoSmithKline plc (GSK) is a global pharmaceutical, biologics, vaccines and consumer healthcare company headquartered in London, United Kingdom. GSK was formed in 2000 by the merger of GlaxoWellcome plc (formed from the acquisition of Welcome plc by Glaxo plc), and SmithKline Beecham plc (from the merger of Beecham plc, and SmithKline Beckman Corporation). It also has a large consumer healthcare division which produces and markets oral healthcare products, nutritional drinks and over-thecounter medicines, including Sensodyne, Horlicks and Gaviscon. It is the world's third largest pharmaceutical company measured by revenues (after Johnson & Johnson and Pfizer). Its primary listing is on the London Stock Exchange and it is a constituent of the FTSE 100 Index. It has a secondary listing on the New York Stock Exchange.

GLAXOWELLCOME

In 1880, Burroughs Wellcome & Company was founded in London by American pharmacists Henry Wellcome and Silas Burroughs. In 1959 the Wellcome Company bought Cooper, McDougall & Robertson Inc. to become more active in animal health. The Wellcome Company production centre was moved from New York to North Carolina in 1970 and the following year another research centre was built. Glaxo was founded in Bunnythorpe, New Zealand in 1904. Originally Glaxo was a baby food manufacturer processing local milk into a baby food by the same name: the product was sold in the 1930s under the slogan "Glaxo builds bonny babies". Glaxo became Glaxo Laboratories, and opened new units in London in 1935. Glaxo Laboratories bought two companies, Joseph Nathan and Allen & Hanburys, in 1947 and 1958 respectively. After the Company bought Meyer Laboratories in 1978, it started to play an important role in the US market. In 1983 the American arm Glaxo Inc. moved to Research Triangle Park (US headquarters/research) and Zebulon (US manufacturing) in North Carolina. Burroughs Wellcome and Glaxo merged in 1995 to form GlaxoWellcome. In the same year, GlaxoWellcome opened its Medicine Research Centre in Stevenage. Three years later GlaxoWellcome bought Polfa Poznan Company in Poland.

SMITHKLINE BEECHAM

In 1843, Thomas Beecham launched his Beecham's Pills laxative in England giving birth to the Beecham Group. Beechams opened its first factory in St Helens, Lancashire, England for rapid production of medicines in 1859. By the 1960s it was extensively involved in pharmaceuticals. Smith Kline & French Laboratories bought Recherche et Industrie Thrapeutiques (Belgium) in 1963 to order to focus on vaccines. The Company started to expand globally buying seven laboratories in Canada and the US in 1969. In 1982, it bought Allergan, a manufacturer of eye and skincare products. The Company merged with Beckman Inc. later that year and then changed its name to SmithKline Beckman. In 1988, SmithKline Beckman bought its biggest competitor, International Clinical Laboratories, and in 1989 merged with Beecham to form SmithKline Beecham plc. The headquarters of the Company were then moved to England. In 2000, Glaxo Wellcome and SmithKline Beecham merged to form GlaxoSmithKline.

GSK AT A GLANCE

96,500 Employees. 5% Share of world pharmaceutical market. (Source: IMS Health) Leading presence inConsumer Healthcare global categories: OTC, Oral Care, Nutritionals. Sensodyne has been the worlds fastest growing toothpaste brand over the last 5 years. 20% Growth of Horlicks in India in 2010. 1bn Units of Lucozade, Ribena and Horlicks manufactured in the UK every year. 2 New Consumer Healthcare Research and Innovation centres opened in China and India. 1.4bn Doses of our vaccines supplied to 179 countries around the world in 2010.

BOARD OF DIRECTORS
Non-Executive Directors

Professor Sir Roy Anderson (Aged 63)

Dr Stephanie Burns (Aged 56)

Sir Christopher Gent (Aged 62) Appointed on 1st June 2004. Chairman.

Andrew Witty (Aged 46) Appointed on 31st January 2008. Chief Executive Officer. Larry Culp (Aged 47) Simon Dingmans (Aged 47)

Sir Crispin Davis (Aged 61)

Julian Heslop (Aged 57)

Sir Deryck Maughan (Aged 63)

James Murdoch (Aged 38)

Dr Daniel Podolsky (Aged 57)

Tom de Swaan (Aged 64)

PRODUCTS

Prescription medicines
gsk prescription medicines include treatments for a wide range of conditions such as infections, depression, skin conditions, asthma, heart and circulatory disease and cancer. Products are in various stages of approval around the world and may not be available in every country.

o Vaccines
gsk market over 30 vaccines worldwide to prevent potentially lifethreatening or crippling illnesses such as hepatitis A, hepatitis B, diphtheria, tetanus, whooping cough, measles, mumps, rubella, polio, typhoid, influenza and bacterial meningitis.

The majority of our vaccine R&D activities are conducted at GlaxoSmithKline Biological in Rixensart, Belgium. Over 1,600 of our research scientists are devoted to developing new vaccines and more costeffective and convenient combination vaccines to prevent infections that cause serious medical problems worldwide.

Consumer Healthcare
We bring dental health products, over-the-counter medicines and nutritional drinks to millions of people. Many of our brands, such as Sensodyne, Panadol, Aquafresh, Lucozade and Nicorette/Niquitin are familiar around the world.
Advair

Albenza Amerga Amoxil Aquafresh Augmentin Advodart BC Powder Beano Beconase

Coreg Dexedrine Flixonase Geritol Gly-Oxide Horlicks Lamital Levitra (bayer healthcare) Macleans(toothpaste) Panadol Paxil

Ribena Setlers Serlipet Tagamet Tums Tykerb Valtrex Veramyst Zantac Zofran

MISSION STATEMENT

We have a challenging and inspiring mission to improve the quality of human life by enabling people to do more, feel better and live longer.

MAIN COMPETITORS
Our principal pharmaceutical competitors range from small to large pharmaceutical companies often with substantial resources. Some of these companies are:

Abbott Laboratories Amgen AstraZeneca Bristol-Myers Squibb Eli Lilly Johnson & Johnson Merck Novartis Pfizer Roche Holdings Sanofi-Aventis

FINANCIAL DETAILS
28.4bn Turnover 32.1 p Earning per share. 65p Dividend per share

OPERATING PROFIT

PROFIT DISTRIBUTION (APPROPRIATION)

BALANCE SHEET

SHARE MARKET

CSR

Malaria vaccine Potentially the first malaria vaccine with phase III trials ongoing in 7 African countries. 300 million Commitment to supply 300m doses of Synflorix at a reduced price to developing countries over the next decade through the AMC financing mechanism. 5-year commitment To treat school age children in Africa at risk of intestinal worms. Leader GSK ranked first in both Access to Medicine Indexes in 2008 and 2010. 2050 Target date for value chain, from raw materials to product disposal, to be carbon neutral.

GSK ENVIRONMENTAL POLICY

gsk revised our environmental strategy to focus on carbon, water and environmental stewardship across the value chain, with ambitious new targets gsk developed a global carbon footprint the first time for GSKs entire value chain gsk carried out life cycle assessments of several products, technologies and packaging options to identify more sustainable alternatives gsk developed a framework for procurement teams to integrate sustainability and began measuring suppliers performance gsk announced an important partnership with the Singapore Economic Development Board, committing S$50 million (24 million) in funding to support research in green and sustainable manufacturing GSK became the first company to achieve global certification to the Carbon Trust Standard