Our Business Focus

Watson Pharmaceuticals, Inc. (NYSE: WPI), headquartered in Corona, California, is engaged in the development, manufacture, sale and distribution of proprietary (brand) and off-patent (generic) pharmaceutical products.

Watson pursues a strategy of generating revenue through three businesses - brand, generic and distribution – with the majority of our revenue stemming from generic product sales. This allows us to capitalize on the Company's proven ability to support the development and commercialization of a broad range of brand and generic pharmaceutical products.

A diversified, specialty pharmaceutical company, Watson markets its products through four core areas: specialty products, nephrology products, urology products, and generic products. These are areas where the Company has established strengths, reach and expertise.

The Company’s generic product line is one of the broadest in the industry, with over 150 products. Watson is ranked fourth in the U.S. generic pharmaceutical marketplace in terms of number of prescriptions dispensed annually¹. Watson also markets approximately 27 brand pharmaceutical product families.

Watson’s Distribution business, Anda, primarily distributes generic and selected brand pharmaceutical products to independent pharmacies, alternate care providers (hospitals, nursing homes and mail order pharmacies), pharmacy chains and physicians’ offices. Additionally, we sell to members of buying groups, which are independent pharmacies that band together to enhance their buying power. We believe that we are able to effectively compete in the distribution market based on three critical elements: competitive pricing; responsive customer service; and well established telemarketing relationships with our customers, supplemented by our electronic ordering capabilities. We distribute approximately 8,000 stock-keeping units (“SKUs”) through our Distribution Division and we believe that our Distribution operation is a strategic asset in the national distribution of generic and brand pharmaceuticals.

¹Source: IMS Health, December 2008