Schering-Plough Reports Financial Results for 2007 Fourth Quarter,...(182 $(1591) $ 1057 Diluted ea...)

Diluted earnings

per common share:

(Loss)/earnings

available to

common shareholders

before cumulative

effect of a change

in accounting

principle $(2.08) $0.12 $(1.04) $0.69

Cumulative effect

of a change in

accounting

principle,

net of tax 7/ - - - 0.02

Diluted (loss)/

earnings per

common share $(2.08) $0.12 $(1.04) $0.71

Average common

shares outstanding

- diluted 1,621 1,497 1,536 1,491

The company incurs substantial costs related to the cholesterol joint venture, such as selling, general and administrative costs, that are not reflected in the "Equity income" and are borne by the overall cost structure of Schering-Plough.

1/ Net sales for the three and twelve months ended December 31, 2007,

both include $626 million of Organon BioSciences (OBS) net sales for

the period November 19, 2007 to December 31, 2007.

2/ Cost of sales for the three and twelve months ended December 31, 2007

both include purchase accounting adjustments of $326 million related

to the acquisition of OBS. Cost of sales for the three and twelve

months ended December 31, 2006 include $45 million and $146 million,

respectively, related to the manufacturing changes announced June 1,

2006.

3/ Research and development for the three and twelve months ended

December 31, 2007 include $21 million and $197 million related to

upfront R&D payments. Research and development for the three and

twelve months ended December 31, 2006 both include $15 million related

to an upfront R&D payment.

4/ Acquired in-process research and development for the three a
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