West Pharmaceutical Services, Inc. · NYSE:WST
West Pharmaceutical Services — UBS Global Healthcare Conference 2006
40 slides from West Pharmaceutical Services's conference presentation, Feb 14, 2006
Slide 1: Corporate Overview
WEST Premeccutal Exhibit 99.1 Corporate Overview Donald E. Morel, Jr., Ph.D. Chairman and Chief Executive Officer UBS Global Healthcare Conference February 14, 2006 NYSE: WST www.westpharma.com
Slide 2: Safe Harbor Statement
Safe Harbor Statement Certain statements contained inthis presentation and certain statements that may be made by management of the Company orally during this ‘presentation may contain forward-looking statements as defined in the Private Securities Litigation Reform Act of 1995. These statements can
Slide 3: Who are we?
Who are we? Each and every day millions of West products are used to enhance healthcare around the world.
Slide 4: Corporate Profile
+ + + + Corporate Profile World's premier manufacturer of components and systems for injectable drug delivery = Stoppers and seals for vials = Disposable components used in syringe, IV, blood collection and diagnostic systems Founded in 1923 H@Q in Lionville, PA 2005 (E) sales $700M Market capitaliz
Slide 5: Global Presence
Global Presence @ 23 manufacturing sites @ 34 sales offices © 7 technical centers
Slide 6: Diverse Customer Base
Diverse Customer Base Company Estimated Market Share: 70% in Pharma; 70% in Device; 95% in Biotech anacen’ _[peainalinah eo) REKTAR | Sanofi aventis| €® Bristol-Myers Squibb Company ead ena medtronic Procters-Gamble| ———
Slide 7: Key Company Developments
Key Company Developments Fy 2001 FY 2002 FY 2003 FY 2004 FY 2005 + Sale of Contract Manufacturing Operations + New management team + Restructuring and increased CAPEX + Sale of OTC Research Services Group + Kinston explosion + Kinston restart + 2-for-1 stock split + Divestiture of Drug Delivery + Ac
Slide 8: Strong Sales Growth
Strong Sales Growth 2002-2005 $900 $800 2 $700 2 $600 = $600 | $400 | 6 $300 3 s200 $100 $0 2001 2002 2003 2004 2005(E) 2006(F) i Core Businesses @ Acquisitions
Slide 9: Business Segments
Business Segments FY05E Net sales: Approx. $700 MM Components $98 MM 14% Tech Device Group $137 MM 20% Laboratory and Other Services 49MM Pharmaceutical Pkg 7% $416MM. 59%
Slide 10: Geographic Sales Mix
Geographic Sales Mix (2005, based on point of sale) Europe, 41% North America, 49% South America, 4% SS a Asia Pacific, 6%
Slide 11: Market Size, Our Share, Our Growth, Gross Margin
Market Size? | OurShare | Our Growth | Gross Margin Long-Term (2005-2007) Range Growth Rate $1 to $1.5 billion. | Market Leader | 6-8% 25-50% Growing 2-5% $150 million, Market Leader | 0-2% 10-20% Growing 0-2% Not determined | Small 812% 10-50%
Slide 12: Corporate Growth Strategy
Corporate Growth Strategy Core Injectable Business + Maximize the value of West’s core business (Company estimated market: $1.1 BN) « Market segmentation = New product innovation » Lean manufacturing * Geographic expansion = Strategic acquisitions
Slide 13: Growth Drivers
Growth Drivers + Global demographics = Diabetes
Slide 14: Diabetes
Diabetes Components for Traditional System Applications ‘Components for Pen System Applications
Slide 15: Growth Drivers
Growth Drivers + Global demographics = Diabetes + Growth in biotechnology drugs = Oncology = Reconstitution Systems = Medimop Medical Projects Ltd
Slide 16: Biotechnology/Oncology
Biotechnology/Oncology Closures and Components for Closures and Components for Traditional and Prefilled Systems Biotechnology and Oncology Systems Syringe plungers, needle shields
Slide 17: Biotechnology/Oncology
Biotechnology/Oncology Reconstitution Aides
Slide 18: Rationale for Medimop Acquisition
Rationale for Medimop Acquisition + Market leader in reconstitution, transfer, mixing and administration systems for injectable drugs, including needleless systems Excellent engineering and technical reputation with customer base Strong proprietary technology position Focuses on design, development
Slide 19: Medimop Product Portfolio
Medimop Product Portfolio Needleless Drug Mial/Adapters Transfer and Mixing
Slide 20: Growth Drivers
Growth Drivers + Global demographics = Diabetes + Growth in biotechnology drugs = Oncology + Anti-counterfeiting needs
Slide 21: Growth Opportunities
Growth Opportunities Closures with built-in product tracking, authentication and anti-counterfeiting features > & (45 SS )
Slide 22: West's Competitive Edge
West’s Competitive Edge Unmatched experience/expertise: drug material interface Ability to source components from multiple locations Protected IP: West’s components and systems Regulatory barrier to entry: NDA and ANDA filing must include reference to all packaging/components in contact with the dru
Slide 23: Corporate Growth Strategy
Corporate Growth Strategy Device Business + Build market share in multi-component systems for drug delivery (Company estimated market: $4.5 BN) + Leverage customer base = Develop a portfolio of proprietary systems for injectable, transmucosal, and pulmonary delivery = Pursue selected consumer opport
Slide 24: Rationale for Tech Acquisition
Rationale for Tech Acquisition +West has: = Unmatched experience/expertise: drug material interface « Ability to source components from multiple locations = Anticipated 3-5 year modest core business unit growth = Consumer business that The Tech Group seeks + The Tech Group has: = Potential to broade
Slide 25: Tech Complements West
Tech Complements West Healthcare 30% Consumer 70% —_ The Tech Group West Device Group FY04 Sales: $74.2 MM FY04 Sales: $65.0 MM
Slide 26: Tech Customer Base
Tech Customer Base Pharmaceutical ea MERIDIAN MEDICAL TECHNOLOGIES Ga Device <9 BDI Consumer
Slide 27: Market Size, Our Share, Our Growth, Gross Margin
Market Size? | OurShare | Our Growth | Gross Margin Long-Term (2005-2007) Range Growth Rate $4.5 billion, Fragmented | &-12% 18-35% Growing 5-7% | market sumer | > $20 billion, Fragmented | 4-6% 8-20% Growing 46% | market Not determined | Small 812% 0-10%
Slide 28: Growth Drivers
Growth Drivers + Organic growth + New product launches + Insulin delivery systems
Slide 29: Tech Product Portfolio
Tech Product Portfolio Health Care Consumer
Slide 30: Exubera Inhaled Insulin
Exubera® Inhaled Insulin + Joint development with Pfizer & Nektar + Class Ill medical device part of NDA + Recent events = Received EMEA and FDA approval for marketing = Initial launch targeted for mid year + Key questions are: = Market acceptance — doctors and patients = Patient acceptance may expa
Slide 31: 2006 — Where We Stand
2006 — Where We Stand + Key elements of the “Sustainable Growth” strategy are now in place: = West’s core pharmaceutical systems business is an established global franchise = Tech Group adds new customers, products and capabilities in the key device segment = Medimop adds new technologies and produc
Slide 32: Operating Priorities
+ + + + Operating Priorities Execute business plan and strategy = Retain focus on growth of core injectable business = Capitalize on Tech and Medimop programs and opportunities Institutionalize “lean thinking” Assess expansion opportunities « China — India - Brazil - Russia/Eastern Europe Continue t
Slide 33: Investment Considerations
WEST Pharmaceutical Investment Considerations
Slide 34: Investment Highlights
Investment Highlights Well positioned for continued revenue growth World’s premier manufacturer of standard-setting components and systems for injectable drug delivery = Value-added products, technologies and services that serve current and future market needs » Substantial market share in key segme
Slide 35: Nine-month 2005 Results
Nine-month 2005 Results ($ millions, 2004 2005 except EPS) Pharm Tech Consolidated | Pharm Tech Consolidated Systems | Group Systems | Group (1) (0) Net Sales} $357 $43 $400| $402 $102 $504 growth 12.6% 7% 11.5% Gross Profit 411 7 118} 126 5) 141 sales} 31.0%| 16.3% 29.5% | 31.3% | 14.7% 27.9% Opera
Slide 36: Guidance Update
Guidance Update Given January 12, 2006 2005 revenue estimated at $700 million EPS from continuing operations: $1.35 - $1.38 * Annual: $1.35 to $1.38 = Fourth quarter: $0.35 - $0.38 = Estimates exclude fourth quarter tax charge on repatriated foreign earnings of $0.06 - $0.08 Expect 2006 revenues of
Slide 37: Financial Objectives
Financial Objectives Reduce debt to total cap ratio, exclusive of any new acquisition-related debt Selectively invest in innovative new products and technologies, and new geographies Grow sales 6-8% before the effects of currency and acquisitions Improve margins by using Lean to eliminate waste and
Slide 38: Management Performance Metrics
Management Performance Metrics + Short term (Annual) = Corporate — EPS, cash flow = Operations — net sales, operating profit, cash flow + Long term = 50% restricted stock, 50% options = Compounded annual growth rate (CAGR) = Return on invested capital (ROIC) + Stock ownership guidelines for all exec
Slide 39: Summary
+ Summary Core business — established, profitable, global + Regulatory and capital barriers to entry = Strong, diversified customer base = West’s product development cycle mirrors new drug development timeline + Value-added products, technologies and services that enhance growth potential Recent acq
Slide 40: Searchable
Searchable text section of graphics shown above [ LOGO] Corporate Overview Donald E. Morel, Jr., Ph.D. Chairman and Chief Executive Officer UBS Global Healthcare Conference February 14, 2006 NYSE: WST www.westpharma.com Sa fe Harbor Statement Certain statements contained in this presentation and cer
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