Progress on The Mid-term Plan
New Approach for Innovation
Terumo Corporation
President & Representative Director
Yutaro Shintaku
November 6, 2013

Mid-term Forecast by Segment
25%Cardiac & Vascular

OP Margin %Blood Management

20%

Sales Growth (FY12-16)
OP Margin% (FY16)

General Hospital

Sales Growth (FY08-12)
OP Margin% (FY12)

15%10%0%

5%10%

15%

Sales Growth (CAGR)(Note) Without FX impact, OP Margin% before D&A
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Highlights of Each Business Cardiac & Vascular: sustained strong performance even under
severe business environment Launched new products pipeline on time Promoted “selection and focus” of R&D project (sold DH-II asset)
 Achieved steady progress on the improvement of quality management
system in TCVS Furthered globalization in production system(Yamaguchi in Japan, Hanoi in Vietnam)

 General Hospital: furthered the improvement of plant productivity
 Mass-produced new products, drove down cost via production transfer tooverseas plants
 Prepared for the launch of Japan’s first injectable acetaminophen
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Blood Management Business Changes in business environment mainly in EU and US(Unit of bags)
750,000

US Red Blood Cell Issues(Unit of bags)
150,000

US Platelet Issues

700,000
130,000

650,000
600,000

110,000

550,000
500,000

90,000450,000
400,000

70,000350,000
50,000300,000
2010

2011

2012

2013

2010

2011

2012

2013

 Red Blood Cells demand decreased due to patient blood management
program, while Platelet demand remained the same
 Impacted by constraints on rising healthcare cost and challenging
economic environment
 Industry is now consolidated into three major players*Source: Blood Centers of America Quarterly Demand

2013/11/6

Figures are quarterly average©Terumo Corporation

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Blood Management Business: Steady Growth in 1H
 Developed market: growth driven by high value added products
 Improve output and efficiency of works at blood centers with automatedblood processing system
 Expand in application of therapeutic apheresis system

 Emerging market: mark double digit growth in Eastern Europe,Asia, and Latin America
 Drive down cost via production increase in India and Vietnam

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Step into The Core of Silicon Valley
 Participate in incubation program NPO for incubation, located on the campus of El Camino Hospital Develop therapeutic devices for new field, Urology
 Plan to have more than ten engineers reside Invest in venture capital fund
 Invest up to 2.5 BJPY, the largest amount among all investments
in Emergent Medical Partners II L.P.
 Have employees intern at EMP-II office

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Dr. Fogarty: One of Great Person in PCI History

Seldinger
Sones
Fogarty
DotterJL, JR
Technique Technique Catheter TechniqueCoronary
Catheterization

AL, AR

BalloonCatheterPTCA

Fixed WireBalloon

1956
Nobel Prize in Medicine<Reference>
New Device Reportby Dr. Fumiaki Ikeno, Stanford Univ. Interventional Cardiology

1978
The US first PTCA case2013/11/6©Terumo Corporation

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Message from Dr. Fogarty

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IR Contact
Terumo Corporation
Corporate Communication (IR) Dept.
E-mail: kouhou_terumo01@terumo.co.jp

Among the information that Terumo discloses, the forward-looking statements
including financial projections are based upon our assumptions using information
available to us at the time and are not intended to be guarantees of future events orperformance. Accordingly, it should be noted that actual results may differ from thoseforecasts on projections due to various factors. Factors affecting to actual results
include, but are not limited to, changes in economic conditions surrounding Terumo,
fluctuations of foreign exchange rates, and state of competition.
The market share information in this presentation is partly derived from our own
independent research.

2013/11/6©Terumo Corporation

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