Improving Outcomes

Dear Stakeholders,

Two years ago, CVS and Caremark merged and promptly defined a shared vision: We strive to improve the quality of human life. We focused on creating a new model in health care, one that integrates all aspects of pharmacy services with non-emergency medical care. Today we provide patients with expert care and innovative solutions that are both effective and easy. Our ultimate goal is to help improve health outcomes and lower overall health care costs.

To make health care more effective, we are enhancing our approach to proactive pharmacy care by focusing on patient outreach and education to encourage better medication adherence. We are making health care more affordable with the creation of a CVS/pharmacy® Health Savings Pass for uninsured patients so they have access to prescription drugs and medical care at prices they can afford. We also launched the ExtraCare® Health card for our PBM customers, a benefit we traditionally offered only to our own colleagues, to provide discounts on various CVS Brand products that are eligible for reimbursement from Flexible Spending Accounts (FSAs).

At CVS Caremark, we also recognize that the quality of human life is improved through a healthy environment. Operating our business in an environmentally responsible manner is very important to us. In 2008, we partnered with Massachusetts Institute of Technology (MIT) to measure the company’s carbon footprint for the first time. The results have informed our current strategies and will be used to determine the future steps we take to reduce our energy usage.

Another priority for us is to make CVS Caremark an even better place to work than it is today. In large numbers, our colleagues have expressed high levels of satisfaction and engagement with both their teams and the company. We attribute this to the investment we’ve made in training and development opportunities for our workforce, the flexibility we offer our colleagues in terms of their work schedules and locations, and the benefits we provide.

Giving back to our communities remains a cornerstone of our corporate social responsibility (CSR), and in particular, we are committed to helping improve the quality of life for children with disabilities. The support we provide to our communities and to the nonprofit organizations that serve children with disabilities ranges from grants through the CVS Caremark Charitable Trust and corporate contributions, to our employees’ volunteerism and product donations.

These are just a few examples of how we define our responsibilities to our customers, colleagues and our communities. As the theme of our 2008 CSR Report underscores, our focus is – and will always be – on improving outcomes. It’s an attitude we bring to everything we do, in all aspects of our business and operations. Our commitment to CSR is no different. We hope you will take a few minutes to read our report, learn about what we’re doing in this regard, and then share your feedback with us.