Jefferies Healthcare Conference

June 7, 2016

Safe harbor for forward-looking statements

This presentation contains forward-looking statements within the meaning of Section 27A of the
Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. Forward-looking
statements may be identified by words like anticipate, expect, project, believe, plan,
estimate, intend and similar words. These forward-looking statements are based on our beliefs,

assumptions and estimates using information available to us at the time and are not intended to
be guarantees of future events or performance. If our underlying assumptions turn out to be
incorrect, or if certain risks or uncertainties materialize, actual results could differ materially from
the expectations and projections expressed or implied by our forward-looking statements.

Factors that may cause such differences can be found in our most recent Form 10-K and Forms
10-Q filed or to be filed with the Securities and Exchange Commission under the headings Risk
Factors and Safe Harbor for Forward-Looking Statements. Accordingly, you are cautioned not
to place undue reliance on any of our forward-looking statements. We disclaim any intention or
obligation to publicly update or revise any forward-looking statements to reflect any change in our
expectations or in events, conditions, or circumstances on which they may be based, or that may
affect the likelihood that actual results will differ from those contained in the forward-looking
statements.
2

Boston Scientific Jefferies Healthcare Conference, June 7, 2016

Disclaimers

For reconciliations of non-GAAP financial measures used in these presentations to the most
directly comparable GAAP figures, please refer to the Investor Relations section of our website at
www.bostonscientific.com. Footnotes referenced in this presentation can be found on slide 14.

Boston Scientific Jefferies Healthcare Conference, June 7, 2016

BSX: What to expect from us

Consistently delivering on and exceeding financial goals1,2

Strong culture fostering innovation and a WINNING SPIRIT

2015: 5% organic growth, +210bps adj. OM, 23% adj. EPS growth ex FX

Q1:16: 8% organic growth, +260bps adj. OM, 41% adj. EPS growth ex FX

Transforming patients lives and leading in large global markets

Entering faster growth segments, driving category leadership

Building emerging markets scale and capabilities

Launching innovative new product cycle in 2016

Driving consistent organic revenue growth with a long runway

Leading globally: More to come in 2017-2018 and beyond

Launching into large, high growth markets with meaningful innovation

Creating value: MSD rev. growth + adj. OM expansion = DD adj. EPS growth ex FX

Boston Scientific Jefferies Healthcare Conference, June 7, 2016

See slide 14 for footnotes

Boston Scientific at-a-glance

2015 reported revenue, constant currency Y/Y growth

Interventional
Cardiology
$2.0B, +7%

Endoscopy
$1.3B, +6%

Structural Heart

Urology and
Pelvic Health

$100M+

$693M, +36%

Peripheral
Interventions

Neuromodulation

$904M, +13%

$501M, +8%

Rhythm Management
CRM, Heart Failure Management, Electrophysiology
CRM $1.8B, +1%
5

Boston Scientific Jefferies Healthcare Conference, June 7, 2016

See slide 14 for footnotes

EP $233M, +9%

Strong execution: Performance since 2012

Operational Revenue
Growth1,3

Adj. Operating Margin2

Adj. EPS Growth2

Includes foreign exchange impact

Organic revenue growth

Excludes foreign exchange impact

(~$0.10 in 2015)

Operational revenue growth

23%

$7.4B
$7.4B

15%

22.3%

8%

11%

20.2%

6%

5%
4%

11%

18.9%
17.8%**

$7.1B
2%

2012

2013

2014

2015

-3%
$7.2B

2012

2014

2015

2012

2013

2014

2015

-2%
**Adjusted for estimated impact of Medical Device Tax
(~100bps), based on actual 2013 impact

Sales growth acceleration

6

2013

Boston Scientific Jefferies Healthcare Conference, June 7, 2016

See slide 14 for footnotes

~500 bps adj. OM

expansion

Double-digit adj. EPS

growth ex FX

Strategic imperatives align execution

STRENGTHEN
Category
Leadership

EXPAND into
High Growth
Adjacencies

DRIVE
Global
Expansion

FUND
the Journey
to Fuel Growth

DEVELOP
Key
Capabilities

A preferred

Accelerate

Grow emerging

Adjusted

New commercial

leader & gaining

share in large

growth &
diversify into

markets +500bps
as % total sales

operating margin
target of 25%+

capabilities to
lead in dynamic

global segments

faster segments

2012-2017

by 2017

markets

Boston Scientific Jefferies Healthcare Conference, June 7, 2016

Market outlook and investment focus

------- Estimated market* -------

Business

2015
Size

2015
Growth

2015 2020
Growth

Investing in Faster Growth Segments

Endoscopy

$3B

4%

4-6%

Visualization, pulmonary therapies, endo ultrasound

Urology and
Pelvic Health

$3B

4%

4-6%

Stone, BPH, ED, visualization, international

Neuromodulation

$2B

5%

5-7%

Severe pain, Parkinson's, OAB, international

CRM

$10B

2%

0-2%

S-ICD & leadless solutions, HF diagnostic solutions

Electrophysiology

$3B

14%

10-15%

Peripheral

$4B

4%

4-6%

Drug-eluting SFA, atherectomy, oncology, liver cancer

IC (ex SH)

$8B

1%

0-3%

Complex PCI, FFR, & bioresorbable technologies

Structural Heart

$1.8B

35%

15-20%

WW Total

~$35B

~3-4%

~3-6%

Boston Scientific Jefferies Healthcare Conference, June 7, 2016

Atrial fibrillation, mapping & navigation

TAVR, LAAC, mitral

* Market size and growth rates at constant currency and are BSX internal estimates

Driving global expansion

Global revenue mix
2015

Operational Revenue3,4,5
LACA 6%

EM +12% FY15,
+21% Q1:16
operational revenue

China +20%
operational revenue3

AMEA
20%
(+7%)

U.S.
52%
(+9%)

(+8%)

Est. EM $1B in 2016

Est. EM 12% of
mix in 2016
(vs. 8% in 2012)

Strong team
3

(+7%)

Europe
22%

---------------- Emerging Markets ---------------Growth highlights

Growth drivers

Boston Scientific Jefferies Healthcare Conference, June 7, 2016

See slide 14 for footnotes

Expanded
distribution
Product
registrations
R&D & training
centers
China JV
(Frankenman)

Significant adjusted operating margin2 expansion:

Estimated +700bps from 2012-2017

25%+
~+200bps
22.3%

~+100bps

20.2%
Accretive new
products

18.9%

5-10% annual
standard cost
improvements

17.8%

Optimize plant
networks
AMS benefit

Reduce SG&A
R&D
productivity

Reduce
adjacency
dilution
Outsourcing/
offshoring

Lean business
initiatives
AMS benefit

2012A*

2013A

2014A

2015A**

Gross Margin

*Adjusted for estimated impact of Medical Device Tax (~100bps), based on actual 2013 impact

10

Boston Scientific Jefferies Healthcare Conference, June 7, 2016

See slide 14 for footnotes

Operating
Expenses

2017E

Adjusted OM expansion opportunities beyond 2017

27-28%
25%+

Accretive new
products

~+200bps
22.3%

~+100bps
Accretive new
products

5-10% annual
standard cost
improvements

2015A*

11

~+200 to
300bps

5-10% annual
standard cost
improvements

Reduce SG&A
R&D productivity

Optimize plant
networks

Reduce
adjacency
dilution

Reduce SG&A
and adjacency
dilution

Outsourcing/
offshoring

R&D productivity

Optimize plant
networks

Lean business
initiatives

AMS benefit

AMS benefit

Gross Margin

Boston Scientific Jefferies Healthcare Conference, June 7, 2016

Operating
Expense
Reductions

AMS benefit
Outsourcing/
offshoring

2017E

Operating
Margin
Improvements

2020E

Cash flow outlook, capital allocation priorities

Strong Cash Flow

Adjusted FCF6: 2014 2016E

2016 Capital
Allocation Priorities
1. Debt repayment

~$1.5B

2. M&A in adjacent, high-growth markets

2016E*

3. Maintain flexibility

$1.3B+
$1.26B

2014A

2015A

Litigation / tax contingencies

12

Boston Scientific Jefferies Healthcare Conference, June 7, 2016

See slide 14 for footnotes

*2016E represents guidance issued on Q4:15 earnings call, 2/4/16

BSX: What to expect from us

Consistently delivering on and exceeding financial goals1,2

Strong culture fostering innovation and a WINNING SPIRIT

2015: 5% organic growth, +210bps adj. OM, 23% adj. EPS growth ex FX

Q1:16: 8% organic growth, +260bps adj. OM, 41% adj. EPS growth ex FX

Transforming patients lives and leading in large global markets

Entering faster growth segments, driving category leadership

Building emerging markets scale and capabilities

Launching innovative new product cycle in 2016

13

Driving consistent organic revenue growth with a long runway

Leading globally: More to come in 2017-2018 and beyond

Launching into large, high growth markets with meaningful innovation

Creating value: MSD rev. growth + adj. OM expansion = DD adj. EPS growth ex FX

Boston Scientific Jefferies Healthcare Conference, June 7, 2016

See slide 14 for footnotes

Footnotes

1: Organic revenue growth excludes the impact of sales from divested businesses, changes in foreign
currency exchange rates and sales from the acquisitions of the interventional business of Bayer AG and
the American Medical Systems male urology portfolio over the prior year period.
2: Adjusted operating margin, and adjusted earnings per share are non-GAAP and exclude goodwill and
other intangible asset impairment charges, acquisition and divestiture-related net charges, litigationrelated charges, restructuring and restructuring-related charges, pension termination charges, discrete
tax items and amortization expense.
3: Operational revenue growth is at constant currency, and excludes divested businesses.

4: Percent of revenue shown on a constant currency basis.

5: LACA = Latin America and Canada; AMEA = Asia, Middle East , and Africa
6: Adjusted Free Cash Flow excludes any potential amounts related to acquisition-, divestiture- and
litigation-related items, significant tax audit settlements and restructuring and restructuring-related items.
For reconciliations of non-GAAP financial measures to the most directly comparable GAAP
figures, please refer to the Investor Relations section of our website at

www.bostonscientific.com.
14

Boston Scientific Jefferies Healthcare Conference, June 7, 2016