Community Outreach Efforts World Environment Center April 24, 2003

“Industry only has the right to succeed where it performs a real economic service and is a true social asset.” Robert Wood Johnson Chairman, Johnson & Johnson

 Founded in 1886 in New Brunswick, NJ  World’s most comprehensive and broadly based manufacturer of health care products  Family of 200 companies in 54 countries  Selling products in more than 175 countries  108,300 employees

2002 Sales Pharmaceutical Consumer Medical Devices & Diagnostics Total Sales - $36.3 Billion 47% 18% 35%

Enduring Performance  70 consecutive year of sales increases  18 consecutive year of double-digit earnings increases  40 consecutive years of dividend increases

Sustaining Principles  Broadly based in human health care  Decentralized Management  Manage for the Long Term  Foundation of Values – Our Credo

Our Credo We believe our first responsibility is to the doctors, nurses and patients, to mothers and fathers and all others who use our products and services. In meeting their needs everything we do must be of high quality. We must constantly strive to reduce our costs in order to maintain reasonable prices. Customers’ orders must be serviced promptly and accurately. Our suppliers and distributors must have an opportunity to make a fair profit. We are responsible to our employees, the men and women who work with us throughout the world. Everyone must be considered as an individual. We must respect their dignity and recognize their merit. They must have a sense of security in their jobs. Compensation must be fair and adequate, and working conditions clean, orderly and safe. We must be mindful of ways to help our employees fulfill their family responsibilities. Employees must feel free to make suggestions and complaints. There must be equal opportunity for employment, development and advancement for those qualified. We must provide competent management, and their actions must be just and ethical. We are responsible to the communities in which we live and work and to the world community as well. We must be good citizens--support good works and charities and bear our fair share of taxes. We must encourage civic improvements and better health and education. We must maintain in good order the property we are privileged to use, protecting the environment and natural resources. Our final responsibility is to our stockholders. Business must make a sound profit. We must experiment with new ideas. Research must be carried on, innovative programs developed and mistakes paid for. New equipment must be purchased, new facilities provided and new products launched. Reserves must be created to provide for adverse times. When we operate according to these principles, the stockholders should realize a fair return. Johnson & Johnson  written by Robert Wood Johnson in 1943  a shared system of values/our moral compass  the “glue that holds us together”  36 languages - expresses our responsibilities to: Our Customers Our Customers Our Employees Our Communities/Environment Our Communities/Environment Our Stockholders Our Stockholders Our Credo

Our Credo & Sustainable Growth Our Credo Responsibility Sustainable Growth Planet ProfitsPeople to customers/ employees to community & environment to stockholders

Next Generation Goals Outcome Drivers Dashboard

Next Generation Goals Outcome Drivers Dashboard

Community Outreach Goal Each manufacturing/R&D facility:  Develop and implement a site-specific community outreach plan  Initiate and maintain a community forum (if it is a High Exposure facility)

Community Outreach Program  Annually assess community interest and concerns  Identify specific goals and objectives  Prepare an action plan that includes timing and resources (human/monetary)  Obtain approval of site management to execute the plan  Document the plan and progress against the goals and objectives

Community Forum  Conduct assessment to  evaluate the type and level of concern found in the community at large  identify individuals or community groups that actively participate in public policy decisions  determine the type of forum that is most effective for the community  Select a setting that allows for two-way dialogue between the community and J&J representatives  Conduct dialogue no less than once a year

2002 Status  98%Developed and began implementation of its Community Outreach Plan  69% Initiated a Community Forum

Internal Recognition  J&J Environmental Award Program  Performance  Innovation (Business Value)  Leadership (Community Outreach)

Ethicon Endo-Surgery  Partnership with Crayons to Computers in Cincinnati, Ohio  Provide refurbished computers and other office supplies to local needy schools  Volunteer employees sort donated products and deliver supplies  Since 1998, donated 28 tons of supplies

J&J India  Converted and maintain a 6.5-acre public garden in Mumbai that attracts more than 3,000 visitors a day  Utilizes the facility’s treated waste water  Uses fertilizer that was converted from organic plant waste from a Vermi process using earthworms

J&J Brazil  Provide opportunity and material for local underprivileged women in Sao Jose dos Campos to develop occupational skills  Donate raw material remnants from o.b. Tampons  Taught the women a skill  Produce dresses and bibs for needy children

External Recognition  51 facilities in U.S. and Puerto Rico were accepted as charter members of the U.S. EPA National Environmental Performance Track  Environmental Management System  Sustained record of compliance  Demonstration of continuous improvement  Community outreach and engagement

External Recognition  Johnson & Johnson rated #1 for the fourth straight year in the Harris Interactive ® Reputation Survey  Emotional Appeal  Products and Services  Vision and Leadership  Financial Performance  Workplace Environment  Social Responsibility

External Recognition  Dow Jones SAM 2000 Sustainability Rating - rated a sustainability leader above industry average  Innovest Eco Value 21 Rating “AAA” - highest rating

Our Credo Commitment “We are responsible to the communities in which we live and work and to the world community as well…” Good Corporate Citizen