ALCON Q4 2004 OPERATING RESULTS PRESS RELEASE Alcon For Immediate Release Alcon s Fourth Quarter Sales Grow 13.7 Percent

Sales Grow 13.7 Percent

HUNENBERG, Switzerland

February 11, 2004 Alcon, Inc. (NYSE: ACL) reported global sales of $851.7 million

for the fourth quarter of 2003, an increase of 13.7 percent over global sales in the

fourth quarter of 2002, or 7.8 percent excluding the impact of foreign exchange

fluctuations. Net earnings for the fourth quarter of 2003 increased 57.5 percent to $133.9

million, or $0.43 per share on a diluted basis, compared to $85.0 million, or $0.26 per

share, for the fourth quarter of 2002.

the full year 2003, Alcon reported global sales of $3,406.9 million, an increase of 13.2

percent over global sales of $3,009.1 million for the full year 2002, or 9.0 percent

excluding the impact of foreign exchange fluctuations. Net earnings for the full year 2003

increased 27.5 percent to $595.4 million, or $1.92 per share on a diluted basis, compared

to $466.9 million, or $1.53 per share, for the full year 2002.

Sear, Chairman, President and Chief Executive Officer of Alcon, commented, Our

fourth quarter and full year results reflect the success we have had across all of our

geographic regions and product lines. We continued to capitalize on our global

infrastructure to grow operating profit and net earnings faster than sales. Alcon

introduced an array of new products in 2003 that aided performance in 2003; and we believe

they position us for continued growth in the years to come. This year we also expect to

submit for approval several key pipeline products that may have the potential to expand

the eye care market during the next decade.

Fourth Quarter Earnings

major factors that led to the sharp increase in net earnings for the fourth quarter of

2003 compared to the fourth quarter of 2002 were a higher gross profit margin (69.8

percent versus 68.9 percent) and a modest 5.4 percent increase in selling, general and

administrative expenses. The primary reason for the improvement in gross profit margin was

that gross profit in the fourth quarter of 2002 was reduced by about $5.9 million as a

result of inventory write-offs associated with the recall of the SKBM microkeratome.

Changes in product mix also contributed to the quarter-over-quarter improvement in gross

profit margins. The 2002 SKBM recall also increased selling, general and administrative

expenses in the fourth quarter of 2002 by $14.1 million. Research and development expenses

were $95.0 million (11.2 percent of sales) in the fourth quarter of 2003, $1.1 million

lower than in the fourth quarter of 2002.

the fourth quarter of 2003, the Company completed the sale of its contact lens care

manufacturing plant in Madrid, Spain. The sale resulted in a gain of $8.2 million before

profit for the fourth quarter of 2003 increased 67.2 percent over the same period in 2002.

The Company s effective tax rate was 31.3 percent for the fourth quarter of 2003

compared to 23.7 percent for last year s fourth quarter; however, for the full year

2003, the effective tax rate was 30.6 percent compared to 31.1 percent for the full year

Fourth Quarter Sales

sales totaled $413.6 million in the fourth quarter of 2003, an increase of 7.8

percent over U.S. sales of $383.8 million in the fourth quarter of 2002. The

launch of CiproDex otic suspension and continuing strong sales of glaucoma

and allergy products contributed most of the sales growth in the U.S. Aided by a

favorable currency environment, which accounted for 12.1 percentage points of

growth, international sales grew 19.9 percent to $438.1 million in the fourth

quarter of 2003, exceeding U.S. sales for the first time in the company s

history. In addition to the currency benefit, broadly spread growth in

pharmaceutical sales also drove international sales higher. U.S. sales accounted

for 48.6 percent of total sales in the fourth quarter of 2003, compared to 51.2

percent in the fourth quarter of 2002.

pharmaceutical sales for the fourth quarter of 2003 rose 21.3 percent compared to the

fourth quarter of 2002, or 16.1 percent excluding the impact of foreign exchange

fluctuations. Travatan ophthalmic solution sales rose 75.8 percent to $39.5 million

in the fourth quarter of 2003. Other contributors to pharmaceutical growth were Azopt

ophthalmic solution outside the U.S., CiproDex otic suspension in the U.S. and

Patanol ophthalmic solution on a global basis. Partially offsetting these positive

factors was slower growth of TobraDex ophthalmic solution, which continued to

experience declining unit volumes in the U.S. as physicians migrate to fourth generation

fluoroquinolones, including the Company s Vigamox ophthalmic solution, to treat

and prevent eye infections.

surgical sales for the fourth quarter of 2003 rose 10.7 percent compared to the fourth

quarter of 2002, or 3.9 percent excluding the impact of foreign exchange fluctuations. The

launch of AcrySof Natural lens helped the Company s intraocular lens business

grow 14.9 percent over the fourth quarter of 2002. Infiniti vision system shipments

also contributed to overall sales results for the Surgical Division. Refractive sales had

a negative impact on surgical sales growth, as increased procedural revenues arising from

the trend toward higher priced custom procedures were not sufficient to offset a decline

in equipment purchases, especially outside the U.S.

consumer eye care sales increased 7.1 percent in the fourth quarter of 2003 compared to

the fourth quarter of 2002, or 2.6 percent excluding the impact of foreign exchange

fluctuations. The primary contributor to consumer eye care sales growth was a 25.5 percent

increase in sales of artificial tears products, bolstered by the continuing success of the

Company s new dry eye treatment, Systane lubricant eye drops.

management expects 2004 sales to be between $3,700 and $3,800 million and diluted earnings

per share to be between $2.15 and $2.18. The lower end of the sales range does not include

any significant currency impact. Sales and earnings growth are expected to be somewhat

lower in 2004 than in 2003 because of the expiration of a patent on the ocular antibiotic,

Ciloxan ophthalmic solution, increases in marketing expenses in preparation for the

expected launches of several major new products in 2005 and start up expenses associated

with the transition of the Cork, Ireland manufacturing facility into a second intraocular

lens manufacturing facility. The Company does not expect to realize any significant gains

on the sale of assets in 2004.

announced that its board of directors will propose to shareholders a dividend of 0.72

Swiss francs, which will be voted on by shareholders at the Company s annual meeting

on April 27, 2004. The board of directors also approved the repurchase of up to an

additional four million shares of the company s outstanding common stock. The purpose

of the share repurchases is to acquire and hold treasury shares to satisfy the exercise of

stock options granted to employees. From time to time, the company will purchase shares in

open market transactions.

Consolidated Statements of Earnings (Unaudited)

(USD in millions, except share and per

currency sales growth calculates sales growth without the impact of foreign exchange

fluctuations. Management believes constant currency sales growth is an important measure

of the Company s operations because it provides investors with a clearer picture of

the core rate of sales growth due to changes in unit volumes and local currency prices,

over which the company has some control.