Baxter Hillrom Acquisition Presentation
Meaningful value creation opportunity¹
2020 Pro Forma
Financials²
$14.6B
Sales
$3.3B
Adjusted EBITDA
Cost
Synergies
■ Back-office optimization & other
G&A savings
Manufacturing & supply
chain infrastructure
~$250M
Cost Synergies
by Year 3 post close
With additional opportunities thereafter
Baxter Capital Allocation
Priorities
■ Committed to investment grade
■ Strong, sustainable cash flow
~4.2x
Net Leverage
at Closing
Baxter
$1.6B
Free Cash Flow
2.75x
Year 2
Net Leverage Target
¹Non-GAAP financial measures referenced in this slide include pro forma sales, pro forma adjusted EBITDA, pro forma free cash flow, and pro forma net leverage. Further discussion of Non-
GAAP financial measures and reconciliations to comparable U.S. GAAP measures can be found herein and are available at www.baxter.com. 2The financial results of Hillrom, which has a
September 30 fiscal year end, are included in the pro forma amounts presented in this slide on a trailing twelve-month (TTM) basis for the period ended December 31, 2020, and are not
intended to represent pro forma financial information under Article 11 of Securities and Exchange Commission Regulation S-X.
H Hillrom 14View entire presentation