Slide 1: Cochlear Limited 2008 Annual General Meeting
For personal use only Cochlear Limited 2008 Annual General Meeting Grand Ballroom Four Points by Sheraton Hotel 161 Sussex Street Sydney NSW Tuesday 21st October 2008 Mr Tommie Bergman Chairman 1
Slide 2: Company Secretary and CEO/President
For personal use only Mr Neville Mitchell Company Secretary Dr Chris Roberts Chief Executive Officer/ President 2
Slide 3: Directors
For personal use only Prof Ed Byrne AO Director Mr Rick Holliday-Smith Director 3
Slide 4: Directors
For personal use only Mr Paul Bell Director Mr Donal O’Dwyer Director 4
Slide 5: Proceedings
For personal use only Mr Andy Denver Director Proceedings • Chairman’s Address • CEO’s Address • Formal Resolutions 5
Slide 6: Chairman's Address: Record Financial Results for F08
For personal use only Cochlear Limited 2008 Annual General Meeting Mr Tommie Bergman Chairman’s Address Marie-Louise Eliasson, Sweden Record Financial Results for F08 F08 F07 $ million $ million Growth Cochlear implants 504.5 480.2 5% Bone Anchored (Baha) 75.9 62.7 21% FX Contracts 21.3 16.5 29% Rev
Slide 7: Regional Performance and Low Debt Levels
Regional Performance For personal use only • Europe revenue up 30% in constant currency • Americas revenue up 6% in constant currency • Asia Pacific revenue up 20% in constant currency • Baha revenue up 27% in constant currency – now represents ~ 13% of our group sales Low Debt Levels • Net debt at
Slide 8: Increased Shareholder Value and Long Term Strategy
Increased Shareholder For personal use only Value • Philosophy of long-term sustainable growth • Cochlear’s TSR for 3 years to 30 June 2008 was in the top 25% of the ASX 100 companies • Cochlear’s share price has since increased 32% since 30 June 2008 Cochlear’s Long Term Strategy • Strategy remains
Slide 9: Sustainability and Export Success
Sustainability For personal use only • Committed to long-term sustainable financial growth • Also committed to sustainability in areas of environment and society • Very low carbon footprint • Support to the communities we work with, with sponsorships, charity donations and time • Continuing support
Slide 10: Office of Inspector General Update and Regulatory Environment
Office of Inspector General For personal use only Update • In March 2004 Cochlear Americas received a request for information from the United States Department of Justice • Request sought documents including those relating to Cochlear Americas’ relationships with healthcare professionals • In 2006 t
Slide 11: Board and Management; Outlook
Board and Management For personal use only • Board and Senior Management team remain unchanged • Cochlear has over 1,900 employees based in 20 countries around the world • Over 1,000 employees are shareholders Outlook • Cochlear continues to be well positioned to maintain growth and market leadershi
Slide 12: CEO's Address: Cochlear Background
For personal use only Cochlear Limited 2008 Annual General Meeting Dr Chris Roberts CEO’s Address Julian Morales, USA Cochlear Background • Leader in implantable devices for hearing impaired: – Cochlear implants (CI) for sensorineural hearing loss (SNHL) – Bone anchored hearing implants (Baha®) for
Slide 13: Sales in Constant Currency and Core Earnings Growth
5 Year Sales in Constant Currency* For personal use only 600 500 •• During During F08 F08 there there was was 400 significant appreciation significant appreciation CC Sales $millions of of AUD, AUD, e.g. e.g. up up 14% 14% against against USD, up USD, up 10% 10% 300 against against GBP GBP 200 •• In
Slide 14: Cochlear implant system
For personal use only System cochlear implant 14
Slide 15: Record cochlear implant unit sales, Nucleus Freedom
Record cochlear implant unit sales, For personal use only driven by Nucleus Freedom - the best cochlear implant system, ever 1 8 ,0 0 0 • Superior clinical performance 1 6 ,0 0 0 • Electrode design for correct 1 4 ,0 0 0 placement (scala tympani) 1 2 ,0 0 0 CI Unit Sales • Powerful speech processor,
Slide 16: Sales of Bone Anchored Solutions; Hybrid
Sales of Bone Anchored Solutions For personal use only (BAS) in Constant Currency* 80 •• BAS BAS (Baha (Baha implants) implants) 60 sales sales of of $75.6 $75.6 million million up up 21% 21% CC Sales #039;millions •• Up Up 27% 27% in in constant constant currency currency terms terms 40 • Update: FDA
Slide 17: How Hybrid Works; Cochlear's Strategic Vision
How Hybrid Works For personal use only Cochlear’s Strategic Vision Delivering profitable sustainable growth through a focus on implantable solutions for the hearing impaired Building Building internal internal Driving Driving product product Innovating Innovating the the capability capability innova
Slide 18: Outlook: Major Operational Trends; F09 Financial Outlook
Outlook: For personal use only Major Operational Trends • Four product areas provide short and long term growth potential • Geographic sales spread provides reduced risk (portfolio effect) • Largest product segment – cochlear implants – remains hugely under-penetrated in both the infant and adult ma
Slide 19: Business of the Meeting: Resolution No. 1
For personal use only Cochlear Limited 2008 Annual General Meeting Business of the Meeting Resolution No. 1 Financial and other reports To receive and consider the Company’s Financial Report, Directors’ Report and Auditor’s Report in respect of the financial year ended 30 June 2008. 19
Slide 20: Resolution No. 2 Remuneration Report
Resolution No. 2 For personal use only Remuneration Report To consider and, if thought fit, to pass the following non-binding resolution: 2.1 “THAT the Remuneration Report be adopted” Resolution No. 2 Remuneration Report Proxy Summary • Total number of proxy votes cast 29,257,954 100% • Votes in fav
Slide 21: Re-election and election of directors: Tommie Bergman
Resolution No. 3 For personal use only Re-election and election of directors To consider and, if thought fit, to pass the following resolutions as ordinary resolutions: Tommie Bergman / Non-Executive Directorships Cochlear Limited Chairman, October 2002 – Present Deputy Chairman, January 2002 Rinker
Slide 22: Tommie Bergman Executive Career Summary
Tommie Bergman / Executive Career Summary For personal use only ABB AUSTRALASIA GROUP ASEA Brown Boveri Pty Ltd, Executive Chairman & Managing Director 1991 – 2002 Chairman of the following Group Companies: ABB Transmission & Distribution Ltd; ABB Industry Pty Ltd; ABB Service Pty Ltd (formerly ABB
Slide 23: Resolution 3.1 Re-election of Mr Tommie Bergman; Paul Bell
Resolution No. 3.1 For personal use only Re-election of directors – Mr Tommie Bergman Proxy Summary • Total number of proxy votes cast 29,257,954 100% • Votes in favour of the resolution 28,181,007 96% • Votes to be cast at the discretion of the proxy 548,605 2% • Votes against the resolution 574,57
Slide 24: Paul Bell Career Summary; Resolution 3.2
Paul Bell / Career Summary For personal use only Executive Career Merck & CO 1973 – 2002 Merck Human Health Division Asia Pacific Region, President 1997 – 2002 Merck & Co Management Committee, Member 1997 – 2002 Merck, Sharp and Dohme Australia/New Zealand, Vice President 1993 – 1997 Merck, Sharp an
Slide 25: Resolution 3.2 Proxy Summary; Resolution 4 CELTIP
Resolution No. 3.2 For personal use only Re-election of directors – Mr Paul Bell Proxy Summary • Total number of proxy votes cast 29,257,954 100% • Votes in favour of the resolution 28,137,585 96% • Votes to be cast at the discretion of the proxy 551,486 2% • Votes against the resolution 586,605 2%
Slide 26: Resolution 4.1 Proxy Summary; Close of Meeting
Resolution No. 4.1 For personal use only Approval of securities issue to the CEO/President under the Cochlear Executive Long Term Incentive Plan (“CELTIP”) Proxy Summary • Total number of proxy votes cast 29,257,954 100% • Votes in favour of the resolution 27,794,175 96% • Votes to be cast at the di