TH

35 ANNUAL

J.P. MORGAN
HEALTHCARE
CONFERENCE
JANUARY 9, 2017
SAN FRANCISCO

OMAR ISHRAK
CHAIRMAN & CEO

FORWARD LOOKING STATEMENT

This presentation contains forward-looking statements which provide current expectations or forecasts, including those
relating to market and sales growth, growth strategies, financial results, use of capital, product development and
introduction, partnerships, regulatory matters, restructuring initiatives, mergers/acquisitions/divestitures and related
effects, accounting estimates, working capital adequacy, competitive strengths and sales efforts. They are based on
current assumptions and expectations that involve uncertainties or risks. These uncertainties and risks include, but are not
limited to, those described in the filings we make with the U.S. Securities and Exchange Commission (SEC). Actual results
may differ materially from anticipated results. Forward-looking statements are made as of today's date, and we undertake
no duty to update them or any of the information contained in this presentation.

Financial Data
Certain information in this presentation includes calculations or figures that have been prepared internally and have not
been reviewed or audited by our independent registered public accounting firm. Use of different methods for preparing,
calculating or presenting information may lead to differences and such differences may be material. This presentation
contains financial measures and guidance, including free cash flow figures (defined as operating cash flows less property,
plant and equipment additions), revenue, margin and growth rates on a constant currency basis, and adjusted EPS, all of
which are considered non-GAAP financial measures under applicable SEC rules and regulations. We believe these nonGAAP measures provide a useful way to evaluate our underlying performance. Medtronic calculates forward-looking nonGAAP financial measures based on internal forecasts that omit certain amounts that would be included in GAAP financial
measures. For instance, forward-looking revenue growth and EPS projections exclude the impact of foreign currency
exchange fluctuations. Forward-looking non-GAAP EPS guidance also excludes other potential charges or gains that would
be recorded as non-GAAP adjustments to earnings during the fiscal year, such as amortization of intangible assets and
acquisition-related, certain tax and litigation, and restructuring charges or gains. Medtronic does not attempt to provide
reconciliations of forward-looking non-GAAP EPS guidance to projected GAAP EPS guidance because the combined
impact and timing of recognition of these potential charges or gains is inherently uncertain and difficult to predict, and is
unavailable without unreasonable efforts. In addition, we believe such reconciliations would imply a degree of precision and
certainty that could be confusing to investors. Such items could have a substantial impact on GAAP measures of financial
performance. Detail concerning how all non-GAAP measures are calculated, including all GAAP to non-GAAP
reconciliations, are provided on our website and can be accessed using this link.

35th Annual J.P. Morgan Healthcare Conference | January 9, 2017

FOCUSED LONG-TERM COMMITMENTS DRIVING SHAREHOLDER VALUE

EXECUTING ON A BROAD, SUSTAINABLE GROWTH PLATFORM
Commitments

REVENUE
GROWTH

Robust innovation pipeline,

geographic reach, and new
healthcare business models

EPS
LEVERAGE

Multiple operating and financial

leverage levers to deliver
consistent and reliable doubledigit earnings per share growth

CAPITAL
ALLOCATION

Purposeful capital deployment

prioritizing substantial cash
returns to shareholders and
disciplined reinvestment

MID-SINGLE DIGIT
CONSTANT CURRENCY REVENUE GROWTH

DOUBLE-DIGIT
CONSTANT CURRENCY EPS GROWTH

>50 PERCENT
RETURNED TO SHAREHOLDERS

35th Annual J.P. Morgan Healthcare Conference | January 9, 2017

CREATING LONG-TERM SHAREHOLDER VALUE

IMPROVING REVENUE, EPS AND FREE CASH FLOW GROWTH
Revenue Growth1 (Y/Y)
+1.0% +2.0%
8.0%

Goal: Mid-single digit CC growth.

+4.5%

M&A and divestitures, net

6.0%

+4.0%

+6.0%

+6.0%

+MSD

Organic revenue growth

Mid-Single
Digit Range

FY11

Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2

4.0%

Guidance
Range

2.0%
0.0%
FY12

Non-GAAP EPS
$4.60

Current Goal: Double-Digit CC Non-GAAP EPS Growth.

Previous Goal: 200-400bps EPS leverage.

+7% CC

5% 5
+5%
Reported

3%
+3%
Reported

Actual Free Cash Flow4

$ millions

7,500

+8%

8%

6%

1
2
3
4

2%

MSD

Goal: Return a minimum of 50% to shareholders.

Returned to Shareholders (% of Actual FCF)

$5.0 - $6.0B

5,000

Guidance
Range

+8% CC

+1%
CCCW

$3.00
Billions

2,500

+13% CCCW3

$4.55 - $4.60

+10% CC

$3.80
$3.40

Double Digit CC
N/A2

$4.20

H2

59%

45%

FY11

FY12

FY13

62%

FY14

FY15

52%

107%

60%

FY16

FY17E

CCCW - Constant currency, constant week. Q1 FY11 and Q1 FY16 had an extra week. Q4FY15 through Q3 FY16 adjusted to include legacy Covidien in baseline.
N/A Not applicable. Difficult to compare EPS to prior year given the acquisition of Covidien.
Adjusted to include legacy Covidien in full year FY15 baseline.
35th Annual J.P. Morgan Healthcare Conference | January 9, 2017
FCF is operating cash flow minus capital expenditures. 5 Non-GAAP EPS growth, not adjusted for FX, extra week, or COV comparability.

Guidance
Range

COVIDIEN ACQUISITION HAS ADDED SIGNIFICANT VALUE

EXECUTING ON THE LARGEST ACQUISITION IN MEDTECH HISTORY

REVENUE
GROWTH

EPS
LEVERAGE

CAPITAL
ALLOCATION

Increased Diversification
COV Peripheral Vascular + MDT Drug-Coated
Balloon
MDT Stock Price Since
COV Neurovascular franchise + MDT neurosurgery
Deal Announcement
Combined assets to create end stage renal
business
Expanded Cath Lab Managed Services into
$75
Operating Rooms

Value Capture: ~$355M in FY16; $850M+ by FY18

Global ERP Implementation on track

Scale catalyst for long-term cost savings

FX Headwinds have reduced reported leverage

Accessible Free Cash Flow from ~35% to ~55%

Long-term expectations tempered given
Treasury notices / regulations
+41% Dividend Increase since acquisition; payout
ratio now at ~40%
Untrapped ~$10B Cash; $5B Incremental Share
Repurchase by FY18

$50

Pre-deal announcement reflects 6/13/14 closing price. Current reflects closing price on 1/6/17.
5

35th Annual J.P. Morgan Healthcare Conference | January 9, 2017

Pre-Deal
Announcement

Current

STRATEGY TO CAPTURE HEALTHCARE GROWTH OPPORTUNITIES

EXPECT TO RESULT IN MID-SINGLE DIGIT REVENUE GROWTH
Universal Healthcare Needs:
Perpetual Source of
Opportunity

Medtronic Strategies to
Capture Growth

Improve Clinical Outcomes

Three Diversified
Growth Vectors

New Therapies
200-350bps
Therapy Innovation

Expand Access

Emerging Markets
150-200bps
Globalization

Services & Solutions

Optimize Cost & Efficiency

40-60bps
Economic Value

35th Annual J.P. Morgan Healthcare Conference | January 9, 2017

FULL PIPELINE SUSTAINS 200-350BPS NEW THERAPIES GROWTH

SynchroMed II+
LVAD Destination
Therapy Approval (US)

H2FY18

Azure Pacemaker (US)

Valiant Evo
Avalus Surgical Valve
Resolute ONYXTM (Japan)

H1FY18

CoreValve
Evolut PRO

Surgical
Robotics System
LigaSure L-Hook
Vessel Sealer / Divider
Capnostream 35
Portable Respiratory
Monitor

INFUSE OLIF
Indication expansion
Refresh Synergy TLIF
(Voyager 5.5 / Titanium Cages)
Intellis
GRAFTON ACDF (cervical)
indication expansion
Stealth-Connect

3rd genTAVR valve

Resolute ONYXTM (US)

next gen DES

3T MRITM ICD (Japan)

Signia Powered
Stapler

CoreValve
Evolut R 34mm (EU)
CoreValve Evolut R (Japan)

LigaSure
Vessel Sealing
Instruments

HawkOne (6F) (EU)

CoreValve
Evolut R 34mm (US)
TAVR valve

Launching

Sugar.IQ with Watson (US)

Guardian Connect with
Guardian Sensor 3 (US)

MiniMed 670G (US)

Hybrid Closed Loop System

MiniMed 670G
Customer Training
Launch

Stealth-Midas
Rialto SI Fusion System
Elevate / Voyager

Valleylab FT10

Visia AF MRI (US)

CVG

MiniMed 670G (OUS)

Axium Prime

Visia AF MRI (Japan)

H2FY17

Solera Fenestrated
Screw - US

iPro 3

MITG

MAZOR Robotics
Partnership

RTG

35th Annual J.P. Morgan Healthcare Conference | January 9, 2017

Guardian Connect with

Enhanced Enlite Sensor (OUS)
MiniMed 630G (US) with
Enlite CGM sensor

Diabetes

UNLOCKING THE EMERGING MARKET OPPORTUNITY

MAINTAINING MARGINS COMPARABLE TO DEVELOPED MARKETS
Medtronic Emerging Market Revenue
4.0

As of Q2 FY17

13%
COV
Revenue
Added1

3.0
Billions ($)

Diversified Emerging Market Revenue

Other Asia
~5%

2.0

20%

Low-Double
Digit CCCW2

14%

~5%

Central &
Eastern EU

12%
17%

India

~10%

Greater
China

19%

~40%

Latin
America

1.0
22%
Reptd

21%
Reptd

14%
Reptd

11%
Reptd

23%
Reptd

43%
Reptd

~20%

4%
Reptd

0.0
FY11 FY12 FY13 FY14 FY15 FY16

Middle East &

Africa

H1 H1
FY16 FY17

~20%

Strategic Growth Drivers

Traditional Market
Development
Education & Training
Distribution Reach

Channel
Optimization

Private
Partnerships

Public
Partnerships

The penetration of existing therapies into emerging markets

represents the single largest opportunity in MedTech.
1. FY15 emerging markets revenue reflects partial year (FQ4) Covidien contribution. FY16 includes Covidien for full-year.
2. CCCW is constant currency, constant week
8

35th Annual J.P. Morgan Healthcare Conference | January 9, 2017

UNLOCKING THE EMERGING MARKET OPPORTUNITY

CHANNEL OPTIMIZATION
Benefits

Approaches

STRATEGIC

PARTNERSHIP MODEL CHANGE

Allows Medtronic to better serve customer needs

through more direct relationships

CHINA & INDIA

Consolidate roles and responsibilities

Adjust distributor margins
Distributors focus more on logistics and

FINANCIAL

Accelerates growth and captures margin: shared

last-mile services

benefit for both the end customer and Medtronic

DISTRIBUTOR TRANSITIONS
SUSTAINABILITY

TURKEY & SAUDI ARABIA

Strengthens systematic integrity and compliance

Promotes ethical practices in channel

Formed JVs with largest distributor

PANAMA & SLOVAKIA

Opportunity

Leveraging direct infrastructure

Building blocks for long-term sustained emerging

markets growth

Today, nearly $3B of MDT sales through over

6,000 distributors

Optimizing distributor relationships expected to

result in substantial incremental revenue
9

ACCOUNT-BY-ACCOUNT TRANSITIONS

BRAZIL

Serve specific, high-value accounts

directly but keep distributor for
remaining territory

35th Annual J.P. Morgan Healthcare Conference | January 9, 2017

UNLOCKING THE EMERGING MARKET OPPORTUNITY

PUBLIC / PRIVATE PARTNERSHIPS
Public Partnerships

Private Partnerships

RUSSIA SOLE SOURCE SUPPLIER

ABRAAJ STRATEGIC PARTNERSHIP

Cardiovascular disease is the leading cause of death

Abraaj establishing integrated hub &

in Russia

Russian government committed to increasing Acute

Coronary Syndrome (ACS) spend by ~4x

Sole supplier arrangement for coronary stents and

balloons in Russia for 2017-2022; starting
shipments this quarter

MDT majority partner in JV with private company

Long-term government partnership

MDT to locally manufacture dialysis
system and next generation sensor
augmented insulin pumps

Commercial commitment
and joint market access
development

10

Committed to improving patient access and

delivering high-quality care

Medtronic strategic partnership provides medical

Estimated 800K-1M ACS patients 2017-2020

CHINA CHENGDU DIABETES & DIALYSIS

spoke health delivery network

across sub-Saharan Africa, India
sub-continent, and Southeast Asia

devices and value-based care continuum services

to ensure best-in-class outcomes within Abraaj
network

INDIA AND SEA MANAGED SERVICES

19 partnerships in place; 17 in India, 2 pilot

programs in Southeast Asia

Targeted scope to enable infrastructure creation

and market development with incremental device

revenue opportunity

Focus on building access in Tier 2-3 cities with

entrepreneur led and mid-market hospitals (KIMS)

Building pipeline in Southeast Asia

35th Annual J.P. Morgan Healthcare Conference | January 9, 2017

SERVICES AND SOLUTIONS: DRIVING ANNUITY REVENUE

CLMS & ORMS ENABLING FUTURE VALUE-BASED HEALTHCARE
Medtronic Differentiators

Overview

Long-term growth partnership with providers

Incremental device revenue by expanding patient access

Expertise in care
pathway development

Driving annuity revenue growth over long-life contracts

Annualizing at ~$120M in service revenue

Visibility and influence

with policy makers

Global scale and broadening product offerings drive future growth

Technology innovation
in care delivery

Proven CLMS results:

25-35% increase in lab capacity
Increased market share and savings

Total Medtronic Managed Service Agreements

120
100
80

Cath Labs (CLMS)

NGC
Acquired

40
0

44

38

3
59

6
60

Q1

Q2

5
72

10
78

101

11
86

50

18

Q1

Q2

Q3
FY2015

11

12

Operating Rooms (ORMS)

60
20

Disease and condition

understanding

Q4

Q3

Q4

FY2016
35th Annual J.P. Morgan Healthcare Conference | January 9, 2017

Q1

Q2
FY2017

FOCUSED ON EMERGING VALUE-BASED HEALTHCARE

SIGNATURE PROGRAMS
1

CHRONIC CARE
MANAGEMENT

EPISODIC
BUNDLE

Diabetes

Orthopedic Solutions

Diabeter acquisition; 2,000+ patients

Goal to reduce system costs across

covered

Integrated diabetes management

offering remote care through
connectivity

MDT owned stand-alone clinics

Focused on achieving optimal glucose
control for patients at the lowest
decile of cost to payers

5 Netherlands-based clinics with a

the entire episode while maintaining

or improving outcomes

Comprehensive solution

underpinned by complication
management and post-acute
monitoring

Potential US Shared Value

CMS cost savings target: ~$350M
over 5 years.

3 THERAPY OPTIMIZERS
Infection Control

TYRXTM: anti-infection envelope for

implantable devices

Infections occur in 1-3% of high-risk

device implants; cost ~$75K to treat

TYRXTM reduces infection rate to

<0.5% in high-risk patients

Shared savings model to improve

outcomes and reduce costs to both

the providers and payers

Potential US Shared Value

pipeline of UK, MEA and US prospects

Total cost to HC payers: ~$500M/yr.1

Obesity
NOK acquisition; 35K patients treated
Global standard of care for bariatric
surgery featuring standardized
nutritional and medical support

Increased patient engagement and

more durable weight loss

8 Netherlands-based clinics with

roadmap to future expansion

CABG
Positioned to offer technologies and
services across the CABG care
continuum

Pre- and peri-procedure

Post-Discharge
Willing to share financial

accountability for the performance

of our products and services

Respiratory Compromise
11.6% of US adult inpatient surgeries
experience respiratory compromise
with an average of $18K of added
hospital cost per patient

5 year pledge to reduce unplanned ICU

transfers from the GCF and other
codes by 20%

50% rebate on consumables

purchased in one year if objectives

arent met

1. High-risk CRDM implants.

12

35th Annual J.P. Morgan Healthcare Conference | January 9, 2017

DELIVERING MARGIN EXPANSION

GOING BEYOND COVIDIEN SYNERGIES TO DELIVER MORE OPPORTUNITIES

Covidien
Synergies

COGS Reduction

Utilizing systems and

structures at scale across
the enterprise to drive
margin expansion
Operating Leverage
Low to Mid-Single Digits

Operating leverage of low to

mid-single digits contributes to

double-digit EPS growth
expectation

On track to deliver minimum of

$850M in COV synergies

COV synergies catalyst for long

G&A Leverage

13

tail of leverage opportunities

beyond FY18

35th Annual J.P. Morgan Healthcare Conference | January 9, 2017

DELIVERING ON COVIDIEN SYNERGIES AND BEYOND

FY16-FY18: ON TRACK FOR A MINIMUM OF $850M IN COST SAVINGS

FY16

FY18E

$225-250M

~$355M

FY17E

$250-275M

Sourcing ~$300M
Shared supplier rationalization

CVG ~$60M
PV integration

Value engineering & make vs. buy

Freight reductions through common contracts

Supply Chain Optimization ~$65M

Integrated transportation and logistics & distribution center footprint

Enabling Functions ~$240M

Elimination of redundant roles / expenses

Plant Network Optimization

~$5M

Functional Delivery Model Evolution ~$130M

Service delivery optimization: Centers of excel. / shared serv.

Common ERP System (SAP) ~$10M

Benefits Harmonization
~($50)-(70)M Impact

Non-Operations Facilities ~$100M

Consolidation of >100 facilities globally (sales offices, corporate offices, back offices)

Against Savings Goal:

Completed
In Progress

Leverage / Cost Savings Opportunities beyond Covidien Synergies through FY21

Enable functional delivery model
Standardizing of workforce
management best practices
Implement scalable and
consistent HR models

14

Standardize and
automate reporting

Manufacturing plant
optimization & consolidation

Centralize credit
management

Implement lean manufacturing

cell operating system

Supply chain

35th Annual J.P. Morgan Healthcare Conference | January 9, 2017

FOREIGN EXCHANGE AND HEDGING

FX IMPACT EXPECTED TO MODERATE
Annual FX Impact / Guidance

Hedging Reduces Short-Term Volatility

of Earnings and Cash Flows

Revenue
2.0

Hedges of forecasted EBIT exposures up to 18

months in the future are layered in over time
including the Euro and Japanese Yen

Recognize hedging gain/loss in net other expense

Non-GAAP EPS with / without Hedging

Billions ($)

Hedge major developed market currencies

1.5

($1.5B)

1.0

($400M)
($600M)
($120M)
($160M)

0.5
0.0
FY16

$4.50
$4.25
$0.50

$4.00

($0.47)

FY18E

EPS

$0.40

$3.75

$0.30

$3.50

($0.23)

$0.20

$3.25
FY11

FY12

Non-GAAP EPS

FY13

FY14

FY15

FY16

Non-GAAP EPS w/o Earnings Hedging Program

($0.20)

($0.21)

$0.10

$3.00

($0.10)

$0.00
FY16

1. Includes an approximate $40M to $60M negative impact in Q3 FY17.

15

FY17E

35th Annual J.P. Morgan Healthcare Conference | January 9, 2017

FY17E

FY18E

REITERATING FY17 GUIDANCE

DELIVERING DOUBLE-DIGIT CC & MID-SINGLE DIGIT REPORTED EPS GROWTH
Current Financial Guidance
H2 FY17

FY17

MSD

MSD

CVG Growth

MSD,
Q3 greater than Q4

--

MITG Growth

MSD

--

RTG Growth

Low-end of MSD,
Ramp Q3 to Q4

--

MSD to HSD,
Ramp Q3 to Q4

--

--

~$225-250M

8-10%

Double Digit

--

$5B - $6B

Revenue Growth Outlook CCCW

Diabetes Growth
COV Synergies
EPS Growth Guidance CCCW1
Free Cash Flow2

Other than noted, revenue and EPS growth guidance do not include any charges or gains that would be recorded as non-GAAP adjustments to earnings during the fiscal year
1 Estimated FX impact to FY17 EPS of ($0.21) to ($0.23) ; Implies 2017 non-GAAP diluted EPS in range of $4.55-$4.60
16 2 Operating cash flows less property, plant and equipment additions
35th Annual J.P. Morgan Healthcare Conference | January 9, 2017

PURPOSEFUL CAPITAL DEPLOYMENT PLAN

FOCUSED ON SHAREHOLDER RETURNS AND DISCIPLINED REINVESTMENT

Free Cash Flow

Dividends

Returns to
Shareholders

Share Repurchases

Debt Paydown
Currently Targeting A Rating

Balance Sheet
Cash

17

Reinvestment
Tuck-In M&A /
Investments

35th Annual J.P. Morgan Healthcare Conference | January 9, 2017

GENERATING SIGNIFICANT FREE CASH FLOW

SUBSTANTIAL GROWTH FROM PRIOR YEAR
8.0

Change in Accessible Mix

$5.0B
Billions ($)

Awaiting final court decision on

$6.0B

6.0

Guidance
Range

Puerto Rico resolution; now

expect cash transfer in FY18/19

$4.2B

Expect accessible FCF ratio to

4.0

increase from ~55% to ~60%

following Puerto Rico resolution
and to remain stable thereafter
2.0

Potential US tax reform could

have significant positive impact to
accessible mix
0.0
FY16

FY17E

Free cash flow (FCF) defined as operating cash flow, less capital expenditures
18

35th Annual J.P. Morgan Healthcare Conference | January 9, 2017

38 YEARS OF INCREASING DIVIDEND

DIVIDEND EXPECTED TO GROW IN-LINE WITH EARNINGS GROWTH
$2.00

50%

$1.75

Dividend Payout Ratio now ~40%1

Dividend up +25% in FY16
Recent
Large
Increases

$1.25

35%

$1.00
30%

$0.75

25%

$0.50

Dividend Payout Ratio1

$0.00

20%

Dividend per Share

FY79
FY80
FY81
FY82
FY83
FY84
FY85
FY86
FY87
FY88
FY89
FY90
FY91
FY92
FY93
FY94
FY95
FY96
FY97
FY98
FY99
FY00
FY01
FY02
FY03
FY04
FY05
FY06
FY07
FY08
FY09
FY10
FY11
FY12
FY13
FY14
FY15
FY16
FY17E

$0.25

18% Dividend Per Share CAGR over 38 Year History

Member of S&P 500 Dividend Aristocrats
1. On a non-GAAP basis. Calculated as annual dividend per share divided by prior year non-GAAP earnings per share.
19

40%

35th Annual J.P. Morgan Healthcare Conference | January 9, 2017

15%

Payout Ratio

Dividend per Share

$1.50

45%

STRONG TRACK RECORD OF RETURNING CAPITAL TO SHAREHOLDERS

PURPOSEFULLY SUPPLEMENTING DIVIDEND WITH SHARE REPURCHASE
Payout Ratio includes
contribution from $5B
incremental share
repurchase commitment

Total Payout Ratio Since FY12

140%

124%

120%
100%

Net Share Repurchases

Dividends

80%

72%
65%

60%

53%

58%

55%

40%
20%
0%
FY12

FY13

FY14

FY15

FY16

Payout ratio calculated as dividends plus net share repurchases divided by adjusted net income.
20

35th Annual J.P. Morgan Healthcare Conference | January 9, 2017

H1 FY17

DISCIPLINED PLATFORM FOR STRATEGIC M&A

STRONG ACQUISITION TRACK RECORD DELIVERING MID-TEENS IRR
Disciplined Portfolio Management Criteria

Meets Portfolio Criteria

Strengthens Strategic Priorities

Across Groups

Meets Financial Guidelines

Medtronic Value-Add Post Acquisition

Minimal to no
net EPS
dilution

Clear financial
value proposition

Expected IRR

10%

IT
Infrastructure
Global
Distribution

Mid-teens riskadjusted return

hurdle

Quality
Physician
Relationships
Financial
Strength

Facility
Optimization

Recent Acquisition Track Record

20%
15%

Clinical
Expertise

Cardiocom
TYRX

Corventis
Sapiens
NGC
Visualase
Advanced Uro
Sophono
Diabeter

CardioInsight
Aptus
RF Surgical
Twelve
Medina
Lazarus
Aircraft
Baylis
Bellco

Resp Ortho
SNN GYN
NOK
INTACT
HeartWare

FY14

FY15

FY16

FY17E

Median IRR: 14.8%

Peak
Salient

Advanced
Medical
Kanghui

Historical MDT WACC: 7-8%

5%
0%
FY12
21

FY13

35th Annual J.P. Morgan Healthcare Conference | January 9, 2017

MEDTRONIC: DRIVING SHAREHOLDER VALUE

FOCUSED ON REDUCING UNCERTAINTY IN UNCERTAIN TIMES

Size & Scale

Leading Market Positions

Global Distribution and Manufacturing Footprint
Public and Private Partnerships

Ongoing
Innovation

Delivering Meaningful New Products over the Next 18

Months across All Groups
Business Model Innovation

Building
Diversification

Disciplined
Allocator of
Capital

22

Business / Disease States Diversification

Geographic Diversification

Strong Track Record of Returning Capital to Shareholders

Reinvestment: Tuck-In Acquisitions Delivering Strong Returns

35th Annual J.P. Morgan Healthcare Conference | January 9, 2017

TH
35 ANNUAL

J.P. MORGAN
HEALTHCARE
CONFERENCE
JANUARY 9, 2017
SAN FRANCISCO

OMAR ISHRAK
CHAIRMAN & CEO