#1Baxter STRATEGIC OVERVIEW Giuseppe Accogli SVP and President, Global Businesses 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#3Key Market Overview Market Renal Care Acute Therapies Clinical Nutrition Medication Delivery Advanced Surgery Pharmaceuticals Total Baxter Baxter Size¹ ~$14B ~$1B ~$4B ~$23B ~$3B ~$57B $100B+ Growth² ~4% 7% -8% 3% -4% ~3% 4% - 5% 6%-7% 3% -4%³ Baxter Outlook4 ~5% 8% -9% 4% - 5% 3% -4% 6%-7% 6% - 7% ~5% Sustainable market growth of 3% -4% supported by: ✓ Medically necessary products and therapies ✓ Rising prevalence of chronic disease and co-morbidities ✓ Global expansion and increased adoption in emerging markets Delivering Above-Market Growth Of ~5% 12018 market size based on internal analysis. 2Estimated 2018 - 2023 CAGR based on internal analysis. ³Baxter's weighted average market growth. 4All 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. | 3#4Our Strategy Exceed our end-market growth by strengthening our portfolio and extending our impact through transformative innovation that spans prevention to recovery#5#6Building A Culture Of Innovation New Product Sales ~$0.3B 2018 ~$1.0B Baxter 2020 ~$1.7B 2023 Portfolio Innovation New Organizational Structure ¿A Building A Culture Of Innovation Fueled By: Resource Reallocation Market =+ Development Adjacencies + 1+ New Talent In Place Accelerated Pace Of Innovation New Products And Geographic Expansion To Drive 40%+ Of LRP Sales Growth¹ ¹LRP = Long Range Plan; 2018 - 2023. | 6#7#8#9#10#11#12#13#14