Bausch Health Companies Inc. · TSX:BHC

Bausch Health Companies — Valeant Pharmaceuticals International — Debt Investor Presentation (September 2013)

23 slides from Bausch Health Companies's debt investor presentation, Sep 9, 2013

  1. Slide 1: Valeant Pharmaceuticals Lenders' Presentation September 9, 2013

    Valeant Pharmaceuticals International, Inc. Lenders’ Presentation September 9 , 2013

  2. Slide 2: Forward-looking Statements

    Forward - looking Statements Forward - looking Statements Certain statements made in this presentation may constitute forward - looking statements, including, but not limited to, statements regarding the performance of the business, synergies, pipeline approvals, patent risk and product exclusivity,

  3. Slide 3: Agenda

    Agenda  Executive Summary & Transaction Overview  Amendment Overview & Timeline  Business Update  Q2 2013 Results  Bausch + Lomb Update  Questions and Answers 3

  4. Slide 4: Transaction Overview

    Transaction Overview Way VALEANT

  5. Slide 5: Executive Summary

    5 Executive Summary  Valeant Pharmaceuticals International, Inc . (“Valeant” or the “Company”) is a multinational specialty pharmaceutical company with a diverse global product portfolio  Q 2 2013 Highlights  Total Revenue for the quarter, at $ 1 , 096 million ; an increase of 41 % over the prior

  6. Slide 6: Capitalization Pro forma for Bausch + Lomb Acquisition

    6 Capitalization Pro forma for Bausch + Lomb Acquisition ($ in millions) Note: Debt amounts are face value s . 1 Does not include local working capital lines with outstanding balances of approx imately $54 million as of June 30, 2013. 2 Leverage multiples calculated net of $350 million cash as permi

  7. Slide 7: Summary Terms - Term Loan B - Series C & D

    Summary Terms - Term Loan B - Series C & D Terms Term Loan B – Series C & D Borrower  Valeant Pharmaceuticals International, Inc (the “Borrower”) Guarantors  Material direct and indirect wholly - owned subsidiaries of the Borrower subject to customary exclusions (consistent with existing Senior Se

  8. Slide 8: Transaction Timetable

    8 Transaction Timetable Dates Event September 9 th  Lenders’ Call September 12 th  Commitments Due September 13 th  Allocate September 17 th  Close and fund 8 September 2013 S M T W T F S 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 Holiday Key Date

  9. Slide 9: Business Update

    Business Update Way VALEANT

  10. Slide 10: Strong Q2 2013 Earnings and Cash Generation Performance

    Strong Q2 2013 Earnings and Cash Generation Performance Q2 2013 Q2 2012 2013 vs 2012 Total Revenue $1.096 B $775M 1 41% Product Sales $1.064 B $743M 43% Cash EPS $1.34 $0.87 1 54% Adjusted Cash Flow $423 M $262 M 1 61% 1 Excludes milestone of $45M related to the U.S. launch of Potiga ® 10

  11. Slide 11: Q2 2013 Organic Growth Same Store Sales

    Q2 2013 Organic Growth Same Store Sales As Reported Excluding Zovirax ® Ointment Excluding Zovirax ® Franchise U.S. Promoted - 5% 4% 7% U.S. Neuro 2% 2% 2% Canada / Australia 4% 4% 4% Central/Eastern Europe 13% 13% 13% Latin America 17% 17% 17% South East Asia/South Africa 11% 11% 11% Pro Forma U.S.

  12. Slide 12: Key Highlights of Q2 2013

    Key Highlights of Q2 2013  OraPharma  Double digit growth every quarter since acquisition  CeraVe ®  50%+ growth year over year  Aesthetics  Best quarter since Medicis first launched  Poland  YTD 1 growth rate (11%); significantly higher than the market rate (6%)  Russia  YTD 1 growth rate

  13. Slide 13: Revenue Performance of Past Acquisitions

    Revenue Performance of Past Acquisitions LTM prior to close as been adjusted to reflect 2013 foreign exchange rates Note: Excludes deals under $75 million purchase price and transactions completed in 2013 1 Standalone Biovail, prior to its merger with Legacy Valeant 13 Acquisition Date LTM prior to

  14. Slide 14: Performance of Past Acquisitions Cumulative Cash Flow vs. Deal Model

    Performance of Past Acquisitions Cumulative Cash Flow 1 vs. Deal Model Note: Excludes deals under $75 million purchase price and transactions completed in 2013 Acquisition Behind by More Than 10% On Track Ahead by More Than 10% Coria P Aton P Biovail ( excl Zovirax ® ) P PharmaSwiss P Zovirax ® (US

  15. Slide 15: Valeant Pipeline Update

    Valeant Pipeline Update  Efinaconazole  Provisionally accepted brand name: Jublia ®  Met with FDA in July 2013 to discuss container closure apparatus  Agreed upon plan with FDA to address concerns  Expect to launch in Q2 / Q3 2014  Acanya ®  Acanya 2015 patent extended to 2029  Acanya LCM pr

  16. Slide 16: Bausch + Lomb Update

    Bausch + Lomb Update Way VALEANT

  17. Slide 17: What We Have Learned Since Announcement

    What We Have Learned Since Announcement  VRX and B+L Have Similar Cultures  Performance based  Teamwork oriented, willingness to wear multiple hats and accept change  Excited that so many of the key B+L leaders have joined Valeant  Strategic Rationale Has Been Reinforced  Eye Health is an attr

  18. Slide 18: Synergy Update

    Synergy Update  >$800 million in synergies already identified  Expect 10 - 15% combined company headcount reduction  No impact to North American field force and minimal impact to ROW field forces  Less than 5% of total synergies will come from reductions in global field forces  We would expect

  19. Slide 19: Limited Patent Risk for Combined Company

    Limited Patent Risk for Combined Company 2013 2014 2015 2016 2017 Products 1) Bromday ® 2) Retin - A Micro ® 3) Wellbutrin ® XL (CAD) 4) Vanos ® 1) Atralin ® 2) Tiazac ® (CAD) 3) Lotemax ® Suspension 4) Alrex ® 1) Xenazine ® 1) Ziana ® 2) Zirgan ® 3) Targretin ® 1) Lotemax ® Gel 2) Macugen ® Total 2

  20. Slide 20: Questions and Answers

    Questions and Answers Way VALEANT

  21. Slide 21: Appendix

    Appendix Way VALEANT

  22. Slide 22: Valeant Adjusted EBITDA Reconciliation

    Valeant Adjusted EBITDA Reconciliation ($ in millions) 22 LTM Consolidated Adjusted EBITDA (As of June 30, 2013) (a) Consolidated Net Income reflects the adjustment to ( i ) exclude gains and losses on asset sales and (ii) net income or loss derived from joint v entures. (b) Restructuring Costs as d

  23. Slide 23: Bausch & Lomb Adjusted EBITDA Reconciliation

    Bausch & Lomb Adjusted EBITDA Reconciliation ($ in millions) 23 LTM Consolidated Adjusted EBITDA (As of June 30, 2013) (a) Reflects write - down of investments in equity securities using the cost method of accounting. (b) Reflects costs associated with the acquisition and integration of Waicon , IST

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