#118 Baxter CLINICAL NUTRITION Jorge Vasseur GM, Clinical Nutrition May 21, 2018#2Safe Harbor Statement This presentation includes forward-looking statements concerning Baxter's financial results, R&D pipeline, including planned product launches (many of which are subject to regulatory approval) and results of clinical trials, business development activities, capital structure, cost savings initiatives, Baxter's long range plan (which includes financial outlook for 2018, 2020 and 2023) and other growth strategies. The statements are based on assumptions about many important factors, including the following, which could cause actual results to differ materially from those in the forward- looking statements: demand for and market acceptance of risks for new and existing products; product development risks; product quality or patient safety concerns; continuity, availability and pricing of acceptable raw materials and component supply; inability to create additional production capacity in a timely manner or the occurrence of other manufacturing or supply difficulties (including as a result of a natural disaster or otherwise); breaches or failures of Baxter's information technology systems, including by cyberattack; future actions of regulatory bodies and other governmental authorities, including FDA, the Department of Justice, the New York Attorney General and foreign regulatory agencies; failures with respect to compliance programs; future actions of third parties, including payers; U.S. healthcare reform and other global austerity measures; pricing, reimbursement, taxation and rebate policies of government agencies and private payers; the impact of competitive products and pricing, including generic competition, drug reimportation and disruptive technologies; global, trade and tax policies; accurate identification of and execution on business development and R&D opportunities and realization of anticipated benefits (including the recent acquisitions of Claris Injectables and two surgical products from Mallinckrodt plc); the ability to enforce owned or in-licensed patents or the patents of third parties preventing or restricting manufacture, sale or use of affected products or technology; the impact of global economic conditions; fluctuations in foreign exchange and interest rates; any change in law concerning the taxation of income (including current or future tax reform), including income earned outside the United States; actions taken by tax authorities in connection with ongoing tax audits; loss of key employees or inability to identify and recruit new employees; the outcome of pending or future litigation; the adequacy of Baxter's cash flows from operations to meet its ongoing cash obligations and fund its investment program; and other risks identified in Baxter's most recent filing on Form 10-K and other Securities and Exchange Commission filings, all of which are available on Baxter's website. Baxter does not undertake to update its forward-looking statements. Baxter 12#3Parenteral Nutrition (PN) Market Overview¹ Global Market Size Baxter ~$4.3B CAGR² 3% -4% 4% - 5% 2% -3% ~$5.1B 2018 Macronutrients Automated Compounding Micronutrients 2023 Micronutrients Vitamins and Trace Elements Automated Compounding Automixers, software, disposables and compounding services Macronutrients Lipids, Amino Acids, and ready-to-use Multi-Chambered Bags (MCBS) Parenteral Nutrition Market Is Expected To Grow 3% -4% Through 2023² #1 Baxter Position #1 Baxter Position #2 Baxter Position ¹Market estimates and Baxter position based on internal estimates. 22018-2023 Compounded Annual Growth Rate | 3#4Parenteral Nutrition Market Dynamics ~70% Critically III Hospitalized Patients Suffer From Malnutrition¹ 80% go undiagnosed SC O Baxter 15 Million Pre-term Infants Born Per Year³ 35% require Parenteral Nutrition po 40% Receive Suboptimal Nutrition² Many diagnosed patients are "underfed" 1.8 Million Cancer Patients Die From Malnutrition Annually4 High prevalence in cancer patients Potential To Optimize Therapy For Improved Clinical Outcomes 1-4See slide 13 for references. T 4#5Clinical Nutrition Portfolio Ready-to-use MCBs: OLIMEL, NUMETA PLUS A WA many thank Baxter Macronutrients Exp 1200422 Baxter FORMI Numeta G16% E Emulsion for infusion Ig A Po PO Amino Acids & Lipids: CLINOSOL, CLINOLEIC Automated Compounding 26% 53% $882M 2017 Sales 21% Micronutrients CERNEVIT INFUVITE 57479 ixter Cernevit 25 EXACTAMIX aus am le Broad Nutritional Portfolio To Meet The Unique Needs Of Patients | 5#6Strategic Growth Drivers Portfolio Innovation ~$120M 2023 New Product Revenue¹ Accelerate launch cadence and expand products globally Baxter NUMETA Market Development Generate clinical evidence to show broader benefits of PN Drive therapy adoption through peer-to-peer educational programs iCAN Enter Adjacencies + Targeted products for pre-term infants Increase adoption of nutrition in Oncology Introduce subcutaneous administration Innovation, Increased Adoption And Expansion Of Parenteral Nutrition Drive Above-Market Growth Of 4% - 5% Through 2023² ¹All references to "new products" in this presentation include new product launches, line extensions and geographic expansions, unless otherwise noted. 2All references in this presentation to future financial expectations assume commercial execution and regulatory approvals, as applicable, consistent with Baxter's plans. CAGRS for years 2018-2023 assume constant foreign exchange rates. | 6#7Clinical Nutrition Pipeline Baxter Trace Elements Emerging Markets Olimel Emerging Markets Oliclinomel China 2018 Numeta G13 Emerging Markets Olimel N12 EMEA Finomel EMEA 2019 New Product Olimel N12 Emerging Markets Clinimix HP U.S. Clinimix SubQ France GEO Expansion Portfolio Innovation 20 Finomel Emerging Markets Clinimix SubQ ROW¹ Exactamix 2.0 2020-2023 Key Launch Market Enter Development Adjacencies + =+ Numeta G13 China Trace Elements U.S. Numeta Next Gen Delivering ~$120 Million Of New Product Sales In 2023 1Rest of World | 7#8Key Launches Higher protein content is associated with clinically significant improvements in patient outcomes Baxter Omega-3 fatty acids from fish oil have gained acceptance as a lipid source Portfolio Innovation ¿A Market Development Olimel N12 Highest protein & lowest glucose content of any 3CB¹ on the market Clinimix HP 60% more protein than any other 2CB² on the market Baxter LALU FINOMEL Finomel Unique fish-blend 3CB¹ complements our olive-blend portfolio Innovation In Ready-To-Use MCB Portfolio Leads To Accelerated Growth Baxter Enter =+ Adjacencies + OLIMEL N12E with dialys for Cen RNOMEL 1,2See slide 13 for references. | 8#9Market Development Baxter Clinical Evidence Generation $10M investment to support therapy adoption & differentiation¹ Optimal feeding through supplemental PN leads to faster recovery and lowers cost of care Higher protein in PN provides more energy & reduces ventilator days in the ICU by as much as 2 days iCAN Portfolio Innovation ¿A Development Adjacencies + Peer-to-Peer Educational Programs Sustained investment reaching 7,000 clinicians by 2023 3X increase in understanding of PN benefits after program 88% more likely to prescribe PN therapy as result of program participation Clinical Evidence And Education Drive Sustainable Base Business Growth ¹Planned 2018 - 2023 cumulative investment. | 9#10Enter Adjacencies Neonatal Nutrition Baxter Nutrition In Oncology Subcutaneous Administration Clinical Need Drive standardized, ready-to- use PN as first line therapy for pre-term infants Timely initiation of PN in oncology improves functional and clinical outcomes, and reduces cost of cancer care Hospitalized elderly patients with poor venous access can achieve optimal nutrition with subcutaneous administration Portfolio Innovation ¿A Baxter Solution Numeta G13 Enter Development Adjacencies + Clinimix SubQ Numeta Raise awareness of benefits of Olimel MCB in Oncology patients $1.5B+ Market Opportunity Optimal Nutrition For Adjacent Patient Populations Increases Growth Opportunity | 10#11Transformative Innovation Novel Formulations Explore new formulations that deliver superior clinical outcomes: Lipid & Amino Acid blends that increase recovery & improve growth Baxter Clinical Nutrition Innovation Roadmap Advancements to Enhance Care Improved Prep and Delivery Advance technology to deliver PN through unique delivery platforms and administration paths Build a digital nutrition ecosystem to support diagnosis and treatment of malnutrition Pursuing Therapeutic Improvements With Clinical Superiority To Transform Care | 11#12Clinical Nutrition Summary Innovating in ready-to-use MCBs to deliver above-market growth of 4% - 5% through 2023¹ Investing in evidence generation and education to drive therapy adoption and sustained base business growth Delivering optimal nutrition to adjacent patient populations to expand growth opportunities Pursuing therapeutic improvements with clinical superiority to transform patient care Baxter 120182023 CAGR T 12