Coppersmith Presentation to Alere Inc Stockholders

PAGE 33 | COPPERSMITH ▪ Chairman and CEO Zwanziger has been promising growth and increased profits in Health Management that he has failed to deliver for five years in a row: Alere & Health Management: No Credibility, No Accountability Year Ron Zwanziger's Earnings Commentary on Health Management "... I think we very much we've bottomed out" - 3008; "...we expect 2009 revenues to be slightly up compared to a pro forma 2008." - 4008 2008 "...we are feeling really quite - quite, quite good about what's happening 2009 here in this business." And "...we do expect to have some significant organic growth in 2010" - 1009 2010 "...we expect the health management business to recommence modest overall growth in 2011." - 2010 "At this point, we feel that the health management division has begun to 2011 turn the corner and we expect modestly increasing revenues and stable to increasing gross margins from this point forward." - 1011 2012 "Another favorable trend in the first quarter was improved predictability and stabilization of our health management unit" - 1012 Reality 2009 organic revenue down 2.1%, EBITDA margin 327bps 2010 organic revenue down 8.6%, EBITDA margin 323bps 2011 organic revenue down 10.7%, EBITDA margin 578bps 2011 organic revenue down 10.7%, EBITDA margin 578bps 2012 revenue up 0.2% but EBITDA margin down 485bps How many years does Health Management have to fail before management and the Board are held accountable?

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