LB 2015 Investor Presentation

2013 INVESTOR HANDOUT
KEY MESSAGES
We have global, category-leading brands with high emotional content that

generate substantial income and cash flow
Our overriding focus is on the substantial growth opportunity in North America
We believe there is substantial opportunity for international growth and expect it

to be accretive to the total company operating margin
We are targeting 10% annual operating income $ growth (or better) and an
operating income rate in the high-teens
We will continue to manage inventory, expenses and capital with discipline
We remain committed to returning excess cash and generating superior returns

for shareholders
We continue to emphasize maintaining a strong cash and liquidity position while

optimizing our cost of capital with a balanced interest for both bond and equity
holders
SUPERIOR RETURNS TO SHAREHOLDERS

3-year Total Return
1 Fast Retailing
2 Walgreen Co.
3 Nike
4 Starbucks
5 L Brands
6 Best Buy
7 Home Depot
8 Foot Locker
9 Inditex
10 TJX
11 H&M
12 Tiffany & Co.
13 Staples
14 LVMH
15 Target
16 Buckle
17 Children's Place
18 Gap
19 Wal-Mart Stores
20 Bed Bath & Beyond
21 American Eagle
22 Chico's
23 Giordano
24 Ralph Lauren
25 Abercrombie & Fitch
26 Ascena Retail Group
27 Li & Fung
28 Esprit Holdings
29 Coach
30 bebe
31 Aeropostale
S&P 500
S&P 500 Retail Index
As of September 4, 2015
5-year Total Return

38.2%
37.7%
32.7%
31.7%
31.0%
30.7%
29.0%
28.4%
19.1%
16.6%
13.7%
11.8%
11.6%
10.6%
9.1%
4.0%
1.0%
(1.4)%
(2.2)%
(2.5)%
(4.0)%
(5.6)%
(5.9)%
(10.5)%
(14.3)%
(15.7)%
(17.3)%
(17.4)%
(17.6)%
(38.3)%
(58.4)%
13.4%
23.1%
1 Foot Locker
2 L Brands
3 Starbucks
4 Home Depot
5 Fast Retailing
6 TJX
7 Walgreen Co.
8 Nike
9 Inditex
10 Buckle
11 Tiffany & Co.
12 Gap
13 LVMH
14 Chico's
15 Target
17 American Eagle
18 H&M
19 Ralph Lauren
20 Wal-Mart Stores
21 Children's Place
22 Best Buy
23 Giordano
25 Coach
26 Staples
28 Li & Fung
29 bebe
30 Esprit Holdings
31 Aeropostale
S&P 500
10-year Total Return

43.4%
38.6%
36.0%
33.9%
33.7%
29.1%
28.1%
25.8%
23.5%
17.1%
15.4%
15.2%
12.8%
12.5%
10.4%
9.7%
9.4%
9.2%
7.1%
6.8%
4.5%
4.2%
4.1%
1.1%
(3.4)%
(3.7)%
(8.7)%
(18.3)%
(27.2)%
(28.9)%
(46.1)%
14.1%
23.8%
1 L Brands
2 Inditex
3 TJX
4 Nike
5 Fast Retailing
6 Starbucks
7 Buckle
8 Foot Locker
9 Home Depot
10 H&M
11 LVMH
12 Tiffany & Co.
13 Ralph Lauren
14 Walgreen Co.
15 Gap
17 Wal-Mart Stores
18 Target
20 Children's Place
21 Giordano
22 American Eagle
23 Li & Fung
24 Coach
25 Best Buy
26 Staples
27 Chico's
29 Esprit Holdings
30 Aeropostale
31 bebe
S&P 500
23.0%
23.0%
22.6%
20.8%
19.7%
17.2%
16.9%
16.2%
13.9%
13.2%
11.8%
9.9%
9.4%
8.7%
7.8%
6.9%
6.0%
5.6%
4.5%
4.4%
3.7%
3.6%
1.2%
0.5%
(0.3)%
(2.4)%
(6.9)%
(7.6)%
(16.9)%
(21.0)%
(21.4)%
6.9%
11.5%
DRIVEN BY EARNINGS IMPROVEMENT
12012
22015
represents 53-week view (52-week estimate is $2.84)

represents the high-end of our 2015 EPS guidance
OPERATING INCOME - PATH TO HIGH TEENS
High Teens Goal

Operating Income % of Sales
Trailing Twelve Months
18%
17.3%
17%
16%
15%
14%
13%
12%
Q3
Q4
Q1
2010
Note: Q4 2012 adjusted to 13 week view
Q2
Q3
2011
Q4
Q1
Q2
Q3
2012
Q4
Q1
Q2
Q3
2013
Q4
Q1
Q2
Q3
2014
Q4
Q1
Q2
2015
IMPROVEMENTS DRIVEN BY:

1. Strength of the Victorias Secret and Bath & Body Works
brands and the attractiveness of the intimate apparel
and personal care/beauty categories
2.
3.
A focus on fundamentals:
Customers
Core (Best At) merchandise categories
Inventory management, flow, turn and instock
Speed / read and react / chase
Store selling and operations
Experienced, aligned and focused management team
SALES GROWTH
23 CONSECUTIVE QUARTERS OF SALES GROWTH
15%
SalesGrowthvs.LY
12%
12%
12%
10%
9%
11%
9%
8%
7% 7%
6%
5% 5%
3%
6%
6%
5%
7% 7%
5%
3%
3%
0%
Note: Q4 12 excludes 53rd week
GROW INVENTORY SLOWER THAN SALES
(in millions)
20091
2014
$ CHANGE
% CHANGE
Sales2
$7,848
$11,454
$3,606
46%
$811
$1,953
$1,142
141%
$1,037
$1,036
($1)
0%
Operating Income
Inventory
12009
adjusted for third party sourcing business

on likes businesses
2Sales
GROW EXPENSES SLOWER THAN SALES

Approximately $580M in savings since Q3 2009
16%
12%
8%
4%
0%
-4%
-8%
-12%
Sales
* Expense increase due to incentive compensation and store selling initiatives
Expense
HEALTHY REAL ESTATE
10
THE BUSINESS GENERATES SIGNIFICANT

CASH FLOW
2011
2012
2013
2014
Operating Cash Flow
1,284
1,266
1,351
1,248
1,786
1,550 - 1,650
Capital Expenditures
(274)
(426)
(588)
(691)
(715)
(850)
Free Cash Flow
1,010
840
763
557
1,071
700 - 800
Regular Dividend
(197)
(248)
(296)
(349)
(399)
(590)
Retained Cash Flow
813
592
467
208
672
110 - 210
(1) Based on the high-end of our 2015 EPS guidance of $3.73 per share
2015F
(1)
2010
($ in Millions)
11
CONSISTENT LEVERAGE
in billions
2005
2010
2011
Pro forma
2011(1)
2012
2013
2014
2015F(4)
Balance Sheet Debt
$1.7
$2.5
$3.5
$4.5
$4.5
$5.0
$4.8
$4.8
Capitalized Lease
Obligations(2)
$4.6
$4.1
$4.4
$4.4
$4.6
$4.9
$5.2
$5.5
Total Adjusted Debt
$6.3
$6.7
$7.9
$8.9
$9.1
$9.9
$9.9
$10.3
EBITDAR(3)
$1.9
$2.2
$2.5
$2.5
$2.6
$2.7
$3.0
$3.2
Adjusted Debt / EBITDAR
3.3x
3.0x
3.2x
3.6x
3.4x
3.6x
3.3x
3.2x
End of Year Cash
$1.2
$1.1
$0.9
$0.9
$0.8
$1.5
$1.7
$1.2
BBB/
Baa2/NR
BB+/
Ba2/BB+
BB+/
Ba1/BB+
BB+/
Ba1/BB+
BB+/
Ba1/BB+
BB+/
Ba1/BB+
BB+/
Ba1/BB+
BB+/
Ba1/BB+
Debt Rating at End of Year

(S&P/Moody's/Fitch)
(1)
(2)
(3)
(4)
Pro forma the $1 billion bond issuance from February 2, 2012

Calculated as 8 times total rent expense, including all brands owned at the time
Adjusted operating income, excluding depreciation & amortization and total rent expense
Based on the high-end of our 2015 EPS guidance of $3.73 per share
12
NO MATURITIES UNTIL 2017

Debt Maturity Profile
13
$8.5 BILLION RETURNED TO SHAREHOLDERS
CASHDISTRIBUTIONSSINCE2010
RegularDividends
$1.8billion
SpecialDividends
$4.2billion
ShareRepurchases*
$2.5billion
Total
$8.5billion
*Atanaveragepriceof$41.28pershare
Note: Reflects cash distributions from 2010 through August 1, 2015
14
15
OPERATING INCOME POTENTIAL
24%
H&M
Operating Income % of Sales

Trailing Twelve Months
22%
20%
Inditex
18%
18.0%
16%
17.3%
16.5%
14%
LBrands
12%
10%
8%
Q3
Q4
2009
Q1
Q2
Q3
2010
Q4
Q1
Q2
Q3
2011
(1) L Brands results actualized for the quarter needed 8/1/15

(2) Inditex results actualized for the quarter needed 7/31/15
(3) H&M results actualized for the quarter needed 5/31/15
Q4
Q1
Q2
Q3
2012
Q4
Q1
Q2
Q3
2013
Q4
Q1
Q2
Q3
2014
Q4
Q1
Q2
2015
16
SUBSTANTIAL GROWTH OPPORTUNITY IN

NORTH AMERICA
17
FOCUS ON SPEED AND AGILITY
18
FOCUS ON SPEED AND AGILITY

Trailing Twelve Month Dollar Turn
Total L Brands
Q2 2015
YE 2014
YE 2012
YE 2011
3.7
4.0
3.9
YE 2013
3.6
3.6
YE 2010
3.1
19
FOCUS ON STORE SELLING AND EXECUTION
Driving increased conversion rates through a

better store experience
A focus on store selling

High-quality talent
Increasing the ratio of full-time to part-time
associates
Increased training hours
Productivity
20
SQUARE FOOTAGE GROWTH VICTORIAS SECRET
Right size Lingerie
More than 800 stores do not

carry the full Lingerie assortment
Right size PINK
More than 650 stores do not

carry the full PINK assortment
Adjacent categories
Victorias Secret Sport
Loungewear/Sleepwear
Swim
21
Woodfield Mall
Chicago, IL
22

289 EXPANSIONS
2007 Q2 2015
Selling Square Footage
Average Store Size
Sales
Productivity
Profits
IRR
Up about 50%
8,000 ssf
Up about 40%
About $850 per ssf
Up about 25%
About 25%
23
Buckland Hills
Manchester, CT
24
122 U.S. PINK FREE-STANDING STORES

OPENED THROUGH SECOND QUARTER 2015
PINK free-standing store productivity
is more than $1,000 per foot
Average store size is approximately
3,400 ssf
Lingerie store sustains pre-remodel
volume
Expected total center IRR about 25+%
25

Victorias Secret / PINK square footage growth in North America is accelerating,
driving total company growth
SSF Growth (CAGR)
2008 - 2012
2013 - 2014
2015F
Gross
4%
6%
5%
Net of closures
3%
5%
4%
Gross
3%
4%
4%
Net of closures
1%
3%
3%
Victorias Secret / PINK
L Brands
26
WE ARE INCREASING OUR INVESTMENT

TO DRIVE GROWTH
70% invested in stores; consistent improvement in ROIC
74
160
27

TO DRIVE GROWTH
L BRANDS
COMPANY - OWNED STORE COUNT AND SELLING SQ FT
2015
Beginning of
Year
New
Stores
Closures
Total
Reconstructions
and Change in
SSF
End of Year
Increase /
(Decrease)
Victoria's Secret
Store Count
983
13
(6)
73
990
6,290
97
(34)
125
6,478
187
Store Count
115
16
(3)
128
13
Selling Sq Ft 000's
389
53
(8)
438
49
Selling Sq Ft 000's
1%
3%
PINK
11%
13%
Victoria's Secret - Canada
19%
24%
Store Count
31
37
Selling Sq Ft 000's
287
70
358
70
Store Count
10
(1)
(1)
Selling Sq Ft 000's
39
(4)
35
(4)
(10%)
(11%)
PINK - Canada
Subtotal VS
Store Count
1,139
35
(10)
74
1,164
25
2%
Selling Sq Ft 000's
7,006
221
(46)
128
7,308
303
4%
1%
2%
Bath & Body Works *

Store Count
1,558
24
(6)
82
1,576
18
Selling Sq Ft 000's
3,675
63
(13)
37
3,763
87
Bath & Body Works - Canada

Store Count
88
10
98
10
Selling Sq Ft 000's
217
23
242
24
11%
11%
Store Count
1,646
34
(6)
83
1,674
28
2%
Selling Sq Ft 000's
3,893
86
(13)
38
4,004
112
3%
50%
33%
Subtotal BBW
Victoria's Secret - UK
Store Count
12
96
33
(1)
128
32
Store Count
Selling Sq Ft 000's
Store Count
145
(16)
130
(15)
Selling Sq Ft 000's
452
(45)
(17)
392
(59)
Store Count
29
29
Selling Sq Ft 000's
81
81
Selling Sq Ft 000's
PINK - UK
La Senza - Canada
(10%)
(13%)
Henri Bendel
Total
Store Count
2,969
74
(32)
160
3,011
42
1%
Selling Sq Ft 000's
11,536
343
(104)
148
11,923
387
3%
* Includes White Barn Candle
28

TO DRIVE GROWTH
Selling Square Footage Growth vs. LY

SellingSquareFeet(000s)
400
3%
3%
3%
300
200
100
0%
(0%)
(1%)
2010
2011
2012
(100)
Note: Company owned stores including La Senza Canada closures
2013
2014
2015F
29
INTERNATIONAL GROWTH OPPORTUNITY

1.
Very substantial sales and profit opportunity
2.
At a rate equal to or accretive to the total
3.
Outstanding returns on investment
4.
Building for long-term, sustainable growth

and profitability operating income dollar
contribution not significant in the short-term
Victorias Secret
New Bond Street, London
30
FOUNDATIONAL PRINCIPLES
31
INTERNATIONAL OPERATING MODEL

1.
A partnership-based (franchise) business model
2.
Small number of world-class partners
3.
High control model: we own assortment,

pricing, promotions, store design and real
estate approval
4.
Partners make capital investments, have real

estate skills and build retail selling
organizations
5.
We get paid on retail royalty basis
6.
We have our people living in country: training,

coaching, expediting and escalating
32
INTERNATIONAL - WHERE WE ARE TODAY
33
INTERNATIONAL PRIORITIES
34
INTERNATIONAL - 2015 OUTLOOK

L BRANDS, INC.
INTERNATIONAL STORE COUNT
2015 FORECAST
Year End 2014
2015 New Stores
2015 Closures
Year End 2015 Forecast
Victoria's Secret Beauty & Accessories (VSBA)
290
108-128
(8)
390-410
Victoria's Secret UK
10
14
Victoria's Secret International
14
4-6
18-20
BBW International
80
45-55
(2)
123-133
394
161-193
(10)
545-577
La Senza Canada
145
(16)
130
La Senza International
266
3-6
(28)-(40)
229-244
411
4-7
(44)-(56)
359-374
805
165-200
(54)-(66)
904-951
Total VS & BBW International
Total Other
Total International
35
SUMMARY
We have global, category-leading brands with high emotional content that

generate substantial income and cash flow
Our overriding focus is on the substantial growth opportunity in North America
We believe there is substantial opportunity for international growth and expect it

to be accretive to the total company operating margin
We are targeting 10% annual operating income $ growth (or better) and an
operating income rate in the high-teens
We will continue to manage inventory, expenses and capital with discipline
We remain committed to returning excess cash and generating superior returns

for shareholders
We continue to emphasize maintaining a strong cash and liquidity position while

optimizing our cost of capital with a balanced interest for both bond and equity
holders
36
APPENDIX
Reconciliation of Reported Results to Adjusted Results
This presentation contains certain unaudited "Adjusted" financial information which represents
non-GAAP financial measures. This unaudited "Adjusted" information should not be construed
as an alternative to the reported results determined in accordance with GAAP. Further, the
Company's definition of "Adjusted" information may differ from similarly titled measures used
by other companies. While it is not possible to predict future results, management believes
the unaudited "Adjusted" information is useful for the assessment of the ongoing operations of
the Company. The unaudited "Adjusted" information should be read in conjunction with the
Company's historical financial statements and notes thereto contained in the Company's
quarterly reports on Form 10-Q and annual reports on Form 10-K. The following pages
contain reconciliations of certain reported results to the adjusted results used in this
presentation.
38
APPENDIX
Q1 2015
(in millions except per share amounts)
Reported
Net Sales
Gross Profit
Adjustments
2,512
Adjusted
-
2,512
1,056
1,056
General, Administrative and Store Operating Expenses
684
684
Operating Income
372
372
Earnings Per Share
0.84
(0.23)
0.61
The Reconciliation of Reported Results to Adjusted Results reflects the following:

The "Adjustments" column includes the following:
A $78.1 million pre-tax gain ($69.0 million net of tax) included in other income, related to the sale of our remaining
interest in the third-party apparel sourcing business.
39
APPENDIX
2012
(in millions)
Reported
Net Sales
10,459
Adjustments
$
Adjusted
$
10,459
Gross Profit
4,386
40
4,426
2,720
(1)
2,719
Operating Income
1,573
134
1,707
2.54
0.38
2.92
Earnings Per Share

A $93.2 million pre-tax charge ($91.2 million net of tax) related to the impairment of La Senza goodwill and other
intangible assets;
A $26.9 million pre-tax charge ($16.6 million net of tax), included in buying and occupancy expenses, related to the
impairment of Henri Bendel store fixed assets;
$14.0 million ($14.0 million net of tax) of store closure costs at La Senza; and
A $12.7 million pre-tax gain ($8.2 million net of tax), included in other income and expense, from $13.4 million of
cash distributions related to the companys Easton investments.
40
APPENDIX
2011
Reported
Net Sales
10,364
Adjustments
$
10,364
Gross Profit
4,057
2,698
(171)
2,527
Operating Income
1,238
308
1,546
Earnings Per Share
2.70
17
Adjusted
(0.10)
4,074
2.60

A $232 million pre-tax charge ($203M net of tax) related to the impairment of La Senza goodwill and other intangible
assets;
A $147 million non-taxable gain and associated pre-tax expense of $163 million ($112M net of tax) associated with
our charitable contribution of Express, Inc. common stock to The Limited Brands Foundation;
A $111 million pre-tax gain ($99M net of tax) related to the sale of 51% of our third-party sourcing business to
Sycamore Partners;
A $86 million pre-tax gain ($56M net of tax) related to the sale of shares on Express, Inc. common stock;
A $56 million tax benefit related to certain discrete income tax matters; and
$24 million ($24M net of tax) of restructuring expenses at La Senza.
41
APPENDIX
2010
Reported
Net Sales
9,613
Adjustments
$
Adjusted
$
9,613
Gross Profit
3,631
3,631
2,347
2,347
Operating Income
1,284
1,284
2.42
(0.36)
2.06
Earnings Per Share

A $52 million pre-tax gain ($32M net of tax) related to the initial public offering of Express including the sale of a
portion of the companys shares;
A $49 million pre-tax gain ($30M net of tax) related to a $57 million cash distribution from Express;
A $45 million pre-tax gain related to the sale of Express stock ($28M net of tax);
A $25 million pre-tax loss ($16M net of tax) associated with the early retirement of portions of our 2012 and 2014
maturity bonds;
A $20 million pre-tax gain and a related net tax benefit of $22 million associated with the sale of our remaining
25% interest in Limited Stores; and
A $7 million pre-tax gain related to the Express dividend payment ($4M net of tax).
42
APPENDIX
2009
(in millions)
Reported
Net Sales
8,632
Adjustments
$
Adjusted
$
8,632
Gross Profit
3,028
3,028
2,169
2,169
Operating Income
868
(9)
859
Earnings Per Share
1.37
(0.14)
1.23

A pre-tax gain of $9 million and a related net tax benefit of $5 million related to the disposal of a non-core joint venture
$23 million of favorable income tax benefits primarily related to the reorganization of certain foreign subsidiaries; and
$9 million of favorable income tax benefits primarily due to the resolution of certain tax matters.
43
APPENDIX
2008
(in millions)
Reported
Net Sales
9,043
Adjustments
$
Adjusted
$
9,043
Gross Profit
3,006
3,006
2,311
(23)
2,288
Operating Income
Earnings Per Share
589
129
718
0.65
0.40
1.05

A pre-tax charge of $23 million ($14M net of tax) for severance related to the reduction of roughly 10% of home
office headcount, or approximately 400 associates;
A pre-tax non-cash impairment charge of $215 million ($204M net of tax) to reduce the carrying value of La Senza
goodwill and other intangible assets;
A pre-tax gain of $128 million ($81M net of tax) related to the sale of a non-core joint venture;
A pre-tax charge of $19 million ($20M net of tax) related to the impairment of the investment carrying value of
another non-core joint venture;
A pre-tax gain of $13 million ($8M net of tax) related to a cash distribution from Express; and
$15 million of favorable income tax benefits primarily related to certain discrete foreign and state income tax
items.
44

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2013 INVESTOR HANDOUT

We have global, category-leading brands with high emotional content that

Our overriding focus is on the substantial growth opportunity in North America

We believe there is substantial opportunity for international growth and expect it

We will continue to manage inventory, expenses and capital with discipline

We remain committed to returning excess cash and generating superior returns

We continue to emphasize maintaining a strong cash and liquidity position while

SUPERIOR RETURNS TO SHAREHOLDERS

5-year Total Return

10-year Total Return

DRIVEN BY EARNINGS IMPROVEMENT

represents 53-week view (52-week estimate is $2.84)

OPERATING INCOME - PATH TO HIGH TEENS

High Teens Goal

Note: Q4 2012 adjusted to 13 week view

IMPROVEMENTS DRIVEN BY:

Core (Best At) merchandise categories

Inventory management, flow, turn and instock

Speed / read and react / chase

Store selling and operations

Experienced, aligned and focused management team

Note: Q4 12 excludes 53rd week

GROW INVENTORY SLOWER THAN SALES

adjusted for third party sourcing business

GROW EXPENSES SLOWER THAN SALES

* Expense increase due to incentive compensation and store selling initiatives

HEALTHY REAL ESTATE

THE BUSINESS GENERATES SIGNIFICANT

Operating Cash Flow

Free Cash Flow

Retained Cash Flow

Balance Sheet Debt

Total Adjusted Debt

Adjusted Debt / EBITDAR

End of Year Cash

Debt Rating at End of Year

Pro forma the $1 billion bond issuance from February 2, 2012

NO MATURITIES UNTIL 2017

$8.5 BILLION RETURNED TO SHAREHOLDERS

Note: Reflects cash distributions from 2010 through August 1, 2015

OPERATING INCOME POTENTIAL

Operating Income % of Sales

(1) L Brands results actualized for the quarter needed 8/1/15

SUBSTANTIAL GROWTH OPPORTUNITY IN

FOCUS ON SPEED AND AGILITY

FOCUS ON SPEED AND AGILITY

FOCUS ON STORE SELLING AND EXECUTION

Driving increased conversion rates through a

A focus on store selling

SQUARE FOOTAGE GROWTH VICTORIAS SECRET

Right size Lingerie

More than 800 stores do not

Right size PINK

More than 650 stores do not

Victorias Secret Sport

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122 U.S. PINK FREE-STANDING STORES

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Victorias Secret / PINK

WE ARE INCREASING OUR INVESTMENT

WE ARE INCREASING OUR INVESTMENT