WHITEHOUSE STATION， N.J.--(BUSINESS WIRE)--Merck & Co.， Inc. (NYSE: MRK - News) today announced financial results for the second quarter of 2010. The company reported non-GAAP (generally accepted accounting principles) earnings per share (EPS) for the second quarter of $0.86， which excludes purchase accounting adjustments， merger-related expenses， restructuring costs and the gain on AstraZeneca's asset option exercise. Second-quarter GAAP EPS was $0.24.
Worldwide sales for the second quarter of 2010 were $11.3 billion. Net income1 for the second quarter was $752 million.
For the first six months of 2010， worldwide sales were $22.8 billion and net income was $1，051 million.
A reconciliation of EPS as reported in accordance with GAAP to EPS， excluding certain items， is provided in the table that follows. The second quarter of 2009 GAAP results below reflect legacy Merck on a stand-alone basis.
1 Net income attributable to Merck & Co.， Inc.
Quarter Ended June 30Six Months Ended June 302010200920102009GAAP EPS$0.24$0.74$0.33$1.41EPS impact of items*0.620.091.360.16
Non-GAAP EPS that excludes certain items
listed below2 $0.86$0.83$1.69$1.57
* Amount calculated as follows (in millions
except per share amounts) Second-Second-Six MonthsSix MonthsQuarterQuarterEndedEnded2010 2009June 30， 2010June 30， 2009Purchase accounting adjustments$1，662$--$4，036$--Merger restructuring program830--1，113--Costs related to other restructuring programs64192132367Merger-related costs8594171113Gain on AstraZeneca's asset option exercise(443)--(443)--Net decrease (increase) in income before taxes2，1982865，009480Income tax (benefit) expense3(243)(80)(892)(137)Tax charge related to U.S. health care reform----147--Decrease (increase) in net income$1，955$206$4，264$343EPS impact of items$0.62$0.09$1.36$0.16
"Our strong bottom-line performance in the second quarter demonstrates Merck's continued success in executing our post-merger strategy，" said Richard T. Clark， chairman and chief executive officer. "We're now halfway through our first full year as a combined company. Already we're seeing positive signs of what can be achieved – despite patent expiries and a challenging economy. I'm very pleased with what our team has accomplished."
"Key brands， including JANUVIA， JANUMET， REMICADE， ISENTRESS， and TEMODAR were again standouts this quarter. In addition， Animal Health and Merck Consumer Care， produced strong global sales，" he added. "With our strong performance for the first half of the year， we continue to have confidence in delivering on our long-term financial targets."
2 Merck is providing information on 2010 and 2009 non-GAAP earnings per share that excludes certain items because of the nature of these items and the impact they have on the analysis of underlying business performance and trends. Management believes that providing this information enhances investors' understanding of the company's performance. This information should be considered in addition to， but not in lieu of， earnings per share prepared in accordance with GAAP. For a description of the items， see Tables 2a and 2b， including the related footnotes， attached to this release.