Novartis highlights growth prospects driven by significant R&D pipeline progress and the expected increase in blockbuster treatments

Novartis takes action to strengthen portfolio and capital allocation, starts share buyback Blood transfusion diagnostics unit divested as part of ongoing portfolio management Reiterates optimal capital structure with a target rating of double-A Share buyback of USD 5 billion to start immediately and be executed over two years Pharmaceuticals entering a new growth phase, driven by productive R&D engine New business segments being developed in Dermatology, Heart Failure, Respiratory and Cell Therapy to complement already successful Oncology business AIN457 regulatory application for psoriasis submitted in US and EU Oncology business on track to grow year-on-year through Glivec patent expiry Innovation focused on targeted and cellular therapies as next frontier of cancer treatment Pipeline includes 24 ongoing pivotal trials exploring 16 new products and indications LEE011 in combination with letrozole advanced to Phase III in breast cancer Alcon expected to deliver above-market growth Surgical franchise expected to lead performance, due to new launches including the next-generation cataract refractive suite - Basel, November 22, 2013 - Novartis today announced the launch of a USD 5 billion share buyback, reflecting the company's confidence in its long-term growth prospects, as well as its commitment to deliver strong shareholder returns. The buyback will start immediately and be executed over two years on the 2nd trading line.[*] "Novartis has reached an inflection point, having fully integrated Alcon and reduced debt," said Joseph Jimenez, CEO of Novartis.