...ANNUAL REPORt 2011 Johnson & Johnson will continue to bring meaningful innovations to people around the world so they can live better and healthier lives. We are deeply committed and dedicated to the people who use our products, our employees, the communities in which we live and work, and you, our shareholders. Most important, we will never lose sight of who we are. ON tHE COVER Matt Cox, who has type 1 diabetes and uses the waterproof ANIMAS® VIBE™ insulin pump, swam an English Channel relay to raise money for the Juvenile Diabetes Research Foundation. Matt wants to show his son, Jack, who also has type 1 diabetes, that the condition need not hold him back in life. Read Matt’s story on page 16. CHAIRMAN’S LETTER To Our Shareholders hroughout our annual report this year, you’ll read the severe economic decline; the tightening of consumer about how Johnson & Johnson is bringing meaningful spending and health care budgets; over-the-counter (OTC) innovation to our patients and customers, and making product quality issues at McNeil Consumer Healthcare and a difference in their lives in a personal way—from the recall of the DePuy ASR™ Hip System. Brunhilde Wecker, who made a full recovery from her stroke Our company was severely tested. thanks to our new blood clot retrieval and removal device, In managing through this stretch, we relied heavily on the resolve to our own Bill Hait, an oncologist whose vision and insights of our people and on our time-tested business...
Words: 55630 - Pages: 223
...Assignment 5: Persuasive Paper Part 3: Possible Disadvantages, Answers, with Visuals Strayer University August 31, 2014 The topic of taxation is a very controversial subject. Due to its complexity, people from the left to the right have objected to it. There was a time when the federal government was funded only with revenue from imported products. A little bit of history informs us that income tax started in 1861 with the Civil War, when congress passed a bill required everyone to pay three percent of their income starting at $600 to $10,000 each year (Boortz & Linder, 2005). Since the end of Civil War, the battle began to get rid of the income tax. The truth is that the tax takes money off our pockets. But, I proposed that tax increase on income $ 250,000.00 or more per year because that will decrease taxation on the lower income levels, and increase revenue to the government to fight budget and reduce the national debt. As stated above, income tax was a battle in 1896 and continues to be a battle in 2012. The Sixteenth Amendment of the US Constitution was born to collect revenue from American workers, and that was a fight between Democrats and Republican over income taxation. Due to a 2% tax in 1894, the two major political parties took the fight all the way to the US Supreme Court with a question about the constitutionality of that law. The Supreme Court ruled that the income tax was unconstitutional. As a response to that ruling, Joseph Bailey a democratic senator...
Words: 2882 - Pages: 12
...hiding billions of dollars. Arthur Andersen, had been complicit in this deception and went down with Enron to business infamy. The Enron scandal exposed the weaknesses in the American way of doing business. (Johnson, 2002) One of the most important issue of the scandal was the fact that the board of directors seem uninterested in questioning management. Because profits and stock prices were going up, there was no real incentive to ask too many questions. The board viewed itself solely as the representative of the shareholders without any real obligation toward the general public or the employees of the firm. The big ethical issue is the role pf the board in controlling management. Management seeks to enrich itself while the board seeks to enrich itself while the board seeks to enrich its shareholders. After the scandal, the role of the board in overseeing management has been revaluated. (Johnson, 2002) In the Enron case, Arthur Anderson was also a consultant to Enron. This means that the auditors had an interest in the continued prosperity o (Johnson, 2002)f the firm and therefore, had no incentive to expose the fraudulent record books Enron kept. As long as the money flowed in, no one will blow the whistle. (Johnson, 2002) The Enron scandal was the real cause of the 2002 passage of the Sarbanes-Oxley Act. This act sought to eliminate the conflict of interest between auditors and firms. It empowered...
Words: 944 - Pages: 4
...Situation A The Family and Medical Leave Act (FMLA), passed by Congress in 1993, guarantees eligible employees up to “12 work weeks of unpaid leave each year for childbirth, adoption, or medical emergencies for themselves or a family member” (Beatty & Samuelson, 2010). The employee and company must meet several conditions for the law to be applicable. FMLA has a broad spectrum and applies to public and privately held companies differently. In the case of public agencies, FMLA applies to all local, state or Federal government agencies regardless of the number of employees, as well as public or private elementary or secondary schools (U.S. Department of Labor, 2012). Privately held companies, however, must have a minimum of 50 employees for the law to apply to its daily operations (Beatty & Samuelson, 2010). The employees can be at one location, or multiple locations as long as they are within 75 miles of each other (U.S. Department of Labor, 2012). FMLA dictates an eligible employee, who works for a covered employer, must have “worked for the employer at least 12 months” and have a minimum of “1,250 hours of service for the employer” in that 12 month period preceding when the leave was taken (U.S. Department of Labor, 2012). FMLA further provides for the eligible employee by requiring the employer to restore the employee to their original position and pay rate or to an equal position with “equivalent pay, benefits, and other terms and conditions of employment” (U.S. Department...
Words: 2008 - Pages: 9
...213-255_Trevino_08p4.qxd 6/21/06 5:18 PM Page 213 PA R T IV ETHICS AND THE ORGANIZATION 213 213-255_Trevino_08p4.qxd 6/21/06 5:18 PM Page 214 CHAPTER 8 ETHICAL PROBLEMS OF ORGANIZATIONS INTRODUCTION In the third quarter of 2002, the Brookings Institution, a Washington, D.C., think tank, estimated that the corporate scandals that began with the Enron debacle in late 2000 would cost the U.S. economy $35 billion. That is the equivalent of a $10 increase per barrel of oil.1 It is, in a word, staggering. And we may not have seen the end of it. Long before Enron’s collapse, a number of business ethicists and business professionals watched with concern as Wall Street analysts demanded increasingly strong corporate financial performance to support rising corporate stock prices. At the same time, the gargantuan compensation packages (including stock options) of the top executives running these companies became inextricably linked to their companies’ stock prices. In 1990, average CEO pay at major corporations was 107 times the pay of the average worker. By 2004, CEO pay had risen to 431 times the pay of the average employee. (If the pay of average workers in the United States had risen as fast as CEO pay, the lowest paid workers would be earning $23.03 an hour, not $5.15 an hour.)2 It was an “accident” waiting to happen, although everyone was making so much money in the market that no one wanted to admit that something could be fundamentally...
Words: 20980 - Pages: 84
...from Morris High School in 1954 with no unmistakable arrangements for where he needed to go in life. It was at City College of New York, where Powell considered topography, that he discovered his calling—in the Reserve Officers' Training Corps (ROTC). He soon got to be officer of his unit. This experience set him on a military vocation and gave him structure and heading in his life. After graduation in 1958, Powell was dispatched as a second lieutenant in the U.S. Armed force. While positioned at Fort Devens, Massachusetts, Colin Powell met Alma Vivian Johnson of Birmingham, Alabama, and they wedded in 1962. The couple now has three kids: child Michael, and little girls Linda and Annemarie. That same year, he was one of 16,000 guides sent to South Vietnam by President John Kennedy. In 1963, Powell was injured by a punji-stick booby trap while watching the Vietnamese-Laotian fringe. Amid this first voyage through obligation, he was recompensed a Purple Heart and, after a year, a Bronze Star....
Words: 1070 - Pages: 5
...Briefing the Cost Club Senior Regional Staff Alvin M. Johnson Human Resource Law HRM/546 November 16, 2015 Thomas Hartnett Briefing the Cost Club Senior Regional Staff This handout is intended to explain the five key regulatory areas Cost Club must adhere to. Following is a list of those areas: Employee Privacy, Employee Unions, Occupational Safety and Health Administration (OSHA), Employee Retirement Income Security Act (ERISA), and Fair Labor Standards Act (FLSA). Employee Privacy Federal Law – General Privacy Laws * Driver’s Privacy Protection Act of 1994 – 18 U.S. Code 2721. This law limits disclosures of personal information maintained by the Department of Motor Vehicles. * Electronic Communications Privacy Act of 1986 – 18 U.S. Code sections 2510-2522, 2701-2711, 3121, 1367. This law amends the federal wiretap law to cover different types of electronic communications i.e. e-mail, radio-paging devices, cell phones, private communications carriers, and computer transmissions and extends ban on interception to the communications of wire or electronic communication services and restricts access to stored wired and electronic communication/transaction records. * Family Education Rights and Privacy Act of 1974 (FERPA) – 20 U.S. Code section 1232g. This law restricts the disclosure of educational records. * Fair Credit Reporting Act (FCRA) – 15 U.S. Code sections 1681-1681u. This law promotes accuracy, fairness, and privacy of information gathered by credit...
Words: 1333 - Pages: 6
...Universidad Interamericana de Arecibo MBA Program of Business and Administration Johnson & Johnson: Company Analysis By: Rosemarie Aviles I. INTRODUCTION The purpose of this paper is to analyze the financial performance of Johnson & Johnson. The analysis includes a brief background of the company, discussion over the economic outlook and market competition, followed by its financial performance, and article that talks about the company’s portfolio and credit ranking. Comments about the company’s future are also included along with the conclusion and references. II. BACKGROUND Johnson & Johnson Corporation was founded in 1886 by Robert Wood Johnson, an American entrepreneur and industrialist. Inspired by the developing scientific understanding of proper sanitation and germ theory, Johnson aimed to make antiseptic surgical procedures easier. Through numerous targeted acquisitions and research over the next century, the company steadily diversified its business to encompass pharmaceuticals, medical devices, and consumer packaged goods. Johnson & Johnson (J&J) is one of the largest healthcare firms in the world and one of the most diversified. Its operations are organized into three business segments: pharmaceutical, which generates 47 percent of revenues and 58 percent of operating profits; medical devices and diagnostics, which account for 36 percent of revenues and 31 percent of operating profits; and consumer, which contributes 17...
Words: 4763 - Pages: 20
...Ethical Obligations and Decision Making in Accounting Text and Cases Steven M. Mintz, DBA, CPA Professor of Accounting California Polytechnic State University, San Luis Obispo Roselyn E. Morris, PhD, CPA Chair and Professor of Accounting Texas State University-San Marcos Boston Burr Ridge, IL Dubuque, IA Madison, Wl New York San Francisco St. Louis Bangkok Bogota Caracas Kuala Lumpur Lisbon London Madrid Mexico City Milan Montreal New Delhi Santiago Seoul Singapore Sydney Taipei Toronto Table of Contents Chapter 1 Integrity: The Basis for Ethics in Accounting 1 What Is Ethics? 1 Definition 1 Application of Ethical Reasoning in Accounting DigitPrint Case 33 32 Conclusion 34 Discussion Questions 34 Endnotes 36 Chapter 2 Cases 37 2 Case 2-1: A Faulty Budget 38 Case 2-2: Better Boston Beans 39 Case 2-3: Eating Time 40 Case 2-4: Is Internal Whistle-Blowing "Right"? Case 2-5: Play Ball 43 Case 2-6: Supreme Designs, Inc. 44 Case 2- 7: The City of West Buckle 46 Case 2-8: The CPA Review Course 47 Case 2-9: The Ethics ofiPod-ing 48 Case 2-10: The Tax Return 49 Distinguishing between Ethics and Morality Religious and Philosophical Foundations of Ethics 3 Teleology 4 Deontology 6 41 Acting with Integrity Personal Integrity 8 7 The Moral Point of View 7 The Six Pillars of Character.... 8 Trustworthiness 8 Respect 10 Responsibility 10 Fairness 11 Caring 11 Citizenship 12 Chapter 3 Ethical Decision Making in Business 50 What Is Business Ethics...
Words: 1401 - Pages: 6
...Social Security at 80: Time to Retire? or Revise In 2015, America’s Social Security System turns 80 years old. The original act was a landmark bill, as it was the establishment of America’s safety net. The promise of the act was to ensure that America’s retirees would have some protection from poverty. Since the Social Security Act of 1935 was passed, the social safety net has been expanded to cover additional groups and classes of people. The most important additional programs established being MediCare and MedicAid. After years of running a surplus, Social Security has reached an inflection point. At the current rate of drawdown, the trust fund will run dry, and Social Security will begin to operate as a pay-as-you-go program, potentially only paying 75% of promised benefit levels. This paper will discuss the history of Social Security, demographic and technological trends that affect Social Security, the future implications of these trends for Social Security, and possible solutions. A Brief History of Social Security Social Security as we know it today evolved from the Social Security Act of 1935. Under the terms of the original law, Social Security benefits only applied to the employee. Today, Social Security pays benefits to the employee, the spouse, and the disabled and contains the provision for what is known as Medicaid and Medicare. When compared to today’s law, the scope of the original version of the Social Security Act was much narrower. For example...
Words: 2360 - Pages: 10
...A History of Enron Enron is an energy company based in Houston, Texas that deals with the energy trade on an international and domestic basis. It was formed in 1985 when Houston Natural Gas merged with InterNorth. After several years of international and domestic expansion involving complicated deals and contracts, Enron was billions of dollars into debt. All of this debt was concealed from shareholders through partnerships with other companies, fraudulent accounting, and illegal loans. Enron was created by a merge between Houston Natural Gas and Internorth. Houston's Natural Gas's CEO Kenneth Lay headed the merger of the two companies. Kenneth Lay became the CEO of Enron. Enron was originally solely involved with the distribution and transmission of electricity and gas in the United States. In the merger, Enron incurred a large amount of debt, and as a result of deregulation, no longer had exclusive rights to its pipelines. The company had to find a way to generate profits and cash flow. Kenneth Lay hired Jeffrey Skilling to work for Enron as an accountant. Skilling suggested the practice of buying gas from a network of suppliers and selling it to consumers at a fixed price with a contract. Enron was interested in the expansion, building, and operation of pipelines, power plants, and other infrastructure worldwide. After just a year of operation Enron merged with a company called Spectrum Seven, a company whose chairman and CEO is the former president of the United States...
Words: 3482 - Pages: 14
...discrimination issues 4 Same-sex Marriage and Relationship Recognition 4-6 Parenting and Adoption 6-7 Cultural Awareness & Working with Same-sex Couples 8 References 9-10 Discrimination Issues Discrimination is a negative part of society that many gay and lesbian individuals try to avoid by keeping their sexual orientation hidden, but this adversely affects personal relationships, as well as, the individual. Coming out as gay or lesbian involves claiming a social identity that repositions the self in relation to the family of origin, to friendship networks, and to most of the central institutions in society (work, religious institutions, the legal system, the medical care system) (Bepko & Johnson, 2000). At work, there...
Words: 1593 - Pages: 7
...Civil rights Movement Truman Harry Truman is not a name usually associated with America's Civil Rights movement if only because the main 'points' happened after his presidency - Montgomery, Little Rock, Birmingham, the careers of Martin Luther Kingand Stokely Carmichael. However, some very important civil rights issues were covered in his presidency. Truman’s ancestors had owned slaves. His first recollection of African Americans was a household servants within his family - and he did not come from a prosperous family. While he was dating his future wife Bess, she claimed that he told her that he felt that one person was as good as any other as long as they were not black. He also criticised the Chinese in America, the Jews - to whom he referred to as "Kikes" and the Italians in America who he called "wops". Hence, Truman’s background produced what one would have expected and the young Truman would have had the same views as most other youths in Independence. When he got involved in politics at an early age, he did what any aspiring politician did in the South, he paid $10 to join the KKK. Public office changed Truman. Why? Did he feel that America could not claim to be the democratic capital of the world while African Americans were treated thus? Or were his motives political? The African American population was big enough to have some political clout. Was he out to fish for their votes with his adoption of the civil rights cause? Truman and civil rights legislation: Before...
Words: 11349 - Pages: 46
...Zac Johnson ACCT 7401 Individual Assignment 1 3/25/2015 Sarah Jones Case Frame the ethical issue The ethical issue in this case deals with Sarah Jones independence of conducting the audit of FNB because her parents are dependent on the dividends from their significant investment in the bank. Gather all the facts Sarah Jones serves as an auditor in charge at a reputable accounting firm Trout & Cod CPA firm. She supports her family financially while her husband is a stay-at-home dad taking care of their two kids. During the audit of First National Bank (FNB), Sarah discovered that several significant commercial loans had deteriorated since the previous audit. Sarah believes that the reserves are not adequate because of the deteriorating loans and because of this she estimates the stock price could drop from $45 a share to below $18 with dividends being discontinued. Her situation becomes an ethical issue when she finds out that her parents invested nearly 25% of their retirement funds in FNB’s common stock. Her parent’s investment does not conflict with the CPA firm’s conflict of interest policy because her parents are not dependent on Sarah. Identify the stakeholders and obligations Trout & Cod CPA firm: Sarah’s obligations to the firm is to maintain the high standards and strong reputation that the firm has built. First National Bank: Sarah’s obligations to the FNB is to ensure that she provides professional services to the best of her ability. Shareholders...
Words: 1402 - Pages: 6
...Capital Budgeting Brenda Armstead PPA603: Government Budgeting (MGB524DS) Instructor: Dr. Regis Chapman July 13, 2015 Introduction: According to Lee el at (2008), “Three main factors influence debt capacity: expenditure pressures, resource availability, and the commitment of governmental officials to use resources to meet debt requirements. Assessing resource availability involves analyzing all potential sources of revenue including own-source revenues; transfers from other levels of government; and types of self-financing including user charges, special assessments, impact fees, and a variety of other measures to collect fees or revenues sufficient to support the specific project or facility. Expenditure analysts look at the present and potential future commitments of jurisdictions. Population growth, changing economic conditions, the state of the current capital facilities and infrastructure base, and the socioeconomic characteristics of the population are important influences on potential future expenditures. Fiscal capacity analysis, focusing on the ability to generate revenues, and on expenditure needs, is used to determine present fiscal conditions and estimate future conditions” (P. 555). Discuss how the debt capacity of a governmental entity is determined: “Within the FY2015 budget document are defined explanations of any changes from FY2014. Equally important as the aforesaid statement are the estimated revenues derived from taxes...
Words: 1514 - Pages: 7
