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Reducing Our Environmental Footprint

We:

• Discontinued use of ODCs in the manufacture of any of our products.
• Achieved our ODP goal one year in advance (2006) of its target. At the end of 2007, we reduced our ODP from releases of ODCs by 83% against our baseline of 2002.
• Met our 2005 goal to phase out the use of Class I ODCs in large HVAC and industrial process equipment, with the exception of those sites that were scheduled to close in early 2006 or those with major production changes, which would trigger the closure of Class I equipment. At the end of 2007, only one site had not completed phase-out of these units (scheduled by end of 2008).
• Achieved the second phase-out of our ODC goal at the end of 2007, except for two facilities that were given an extension by management until 1Q09 based on business need.
• Those primary units remaining in service represent less than 2% of all applicable units from baseline year. Phase-out of all relevant units will be completed by 1Q09.
• Achieved the VOC public goal two years in advance (2006). At the end of 2007, we reduced our VOC emissions from air and water by 55% from baseline year 2002.
• In 2007, we continued efforts to reduce the generation of our special wastes and increase our recycling rates, on and off-site, which included capturing data from thermal recovery — 68% of our special wastes were either recycled or recovered.
• Generated 10% less non-special wastes from 2006 to 2007. Our recycling to total waste generated represents an average 48% from 2004 through 2007.

Pfizer and Superfund Sites

Like many other companies, our past use of certain waste disposal contractors has exposed us to liabilities related to site soil and groundwater contamination. Even though not directly responsible for the contamination, under U.S. law and the laws of certain other countries around the world, Pfizer and others have been held responsible in a number of cases for the cost to clean up such contamination. The U.S. law establishing this responsibility is the Comprehensive Environmental Response, Compensation and Liability Act, commonly known as "Superfund." Other countries have similar laws. Our current estimated cost to cleanup Superfund sites at which disposed of materials legally in the past is not material to the Company.

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* Special Waste: Wastes containing highly hazardous substances, heavy metals, or any other hazardous constituent that could adversely impact public health or the environment if mismanaged.

** Non-Special Waste: Wastes including paper, glass, plastics, cafeteria waste, routine facility trash and electronic equipment if deemed non-hazardous.

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