Alcon, Inc.'s Second Quarter Sales Rise 11.8 Percent

HUNENBERG, Switzerland--(BUSINESS WIRE)--July 24, 2006--Alcon, Inc. (NYSE:ACL - News) reported global sales of $1,310.8 million for the second quarter of 2006, an increase of 11.8 percent over global sales in the second quarter of 2005. The fluctuations in foreign currencies did not have an impact on the growth rate of global sales in the quarter. Net earnings for the second quarter of 2006 increased 43.3 percent to $465.6 million, or $1.50 per share on a diluted basis, compared to $325.0 million, or $1.04 per share for the second quarter of 2005. Earnings in the second quarter of 2006 were positively impacted by the reduction of an accrued liability related to the settlement of several intellectual property lawsuits between Alcon and a competitor, Advanced Medical Optics, Inc. The after-tax impact of this non-cash reduction was $99.1 million, or $0.32 per share on a diluted basis. Net earnings in the second quarter of 2006 were also reduced by approximately $12.5 million, or $0.04 per share, due to the expensing of share-based compensation as a result of the implementation of Statement of Financial Accounting Standards (SFAS) 123®. If SFAS 123® had been in effect in the second quarter of 2005, an after-tax charge of $0.03 per share would have been incurred in that quarter.