Investor and Analyst Meeting

December 11, 2014

Forward Looking Statements

Statements in this presentation that are not strictly historical, including any statements regarding events or developments that we believe or
anticipate will or may occur in the future, are "forward-looking" statements within the meaning of the federal securities laws. There are a number
of important factors that could cause actual results, developments and business decisions to differ materially from those suggested or indicated
by such forward-looking statements and you should not place undue reliance on any such forward-looking statements. These factors include,
among other things, deterioration of or instability in the economy, the markets we serve and financial markets, the impact of our restructuring
activities on our ability to grow, contractions or growth rates and cyclicality of markets we serve, competition, our ability to develop and
successfully market new products and technologies and expand into new markets, the potential for improper conduct by our employees, agents or
business partners, our ability to successfully identify, consummate and integrate appropriate acquisitions and successfully complete divestitures
and other dispositions, contingent liabilities relating to acquisitions and divestures, our compliance with applicable laws and regulations
(including regulations relating to medical devices and the healthcare industry) and changes in applicable laws and regulations, our ability to
effectively address cost reductions, compliance and other changes in the healthcare industry, risks relating to potential impairment of goodwill
and other intangible assets, currency exchange rates, tax audits and changes in our tax rate and income tax liabilities, litigation and other
contingent liabilities including intellectual property and environmental, health and safety matters, risks relating to product defects, product liability
and recalls, risks relating to product manufacturing, the impact of our debt obligations on our operations and liquidity, our relationships with and
the performance of our channel partners, commodity costs and surcharges, our ability to adjust purchases and manufacturing capacity to reflect
market conditions, reliance on sole sources of supply, labor matters, international economic, political, legal and business factors, disruptions
relating to man-made and natural disasters, security breaches or other disruptions of our information technology systems and pension plan costs.
Additional information regarding the factors that may cause actual results to differ materially from these forward-looking statements is available in
our SEC filings, including our 2013 Annual Report on Form 10-K and Quarterly Report on Form 10-Q for the third quarter of 2014. These forwardlooking statements speak only as of the date of this presentation and the Company does not assume any obligation to update or revise any
forward-looking statement, whether as a result of new information, future events and developments or otherwise.
With respect to any non-GAAP financial measures included in the following presentation, the accompanying information required by SEC
Regulation G can be found in the Investors section of Danahers web site, www.danaher.com, under the heading Investor Events, and event
name Danaher 2014 Investor & Analyst Meeting. All references in this presentation to earnings, revenues and other company-specific financial
metrics relate only to the continuing operations of Danahers business, unless otherwise noted. All references in this presentation to growth
refer to year-over-year growth unless otherwise indicated.

Agenda
12:30 pm

Welcome

Matt Gugino

12:35 pm

Opening Remarks

Tom Joyce

1:00 pm

Q&A

Tom Joyce

1:15 pm

T&M, GVR, Dental, IT plus Q&A

Jim Lico, Henk van

Duijnhoven, Dan Daniel

2:30 pm

BREAK

3:00 pm

Water Quality, Diagnostics, Life

Sciences plus Q&A

Mark Beck, Arnd

Kaldowski, Rainer Blair

4:00 pm

Closing Remarks/Guidance

Tom Joyce

4:10 pm

Q&A

Tom Joyce

4:30 pm

Cocktail Reception Terrace

Room

All

OPENING REMARKS
Tom Joyce, President & CEO

What You Will Hear Today

Current Update

Overview of Danaher

Building the Water Quality Platform

Our Priorities for 2015 and Beyond

Segment Highlights

2015 Guidance

Current Update

Q4 to-date in line with October 2014 guidance

Recent M&A activity

U.S. solid; Europe stable; High growth markets (HGM) lead but mixed performance
2014 planned productivity spend ~$125M with ~$100M payback in 2015

Closed Nobel Biocare acquisition today, Devicor last week

~$4B of acquisitions announced or closed YTD
$8B+ acquisition capacity

2015 Guidance

Initiate Adjusted EPS guidance range of $4.35-$4.45

Anticipate core revenue growth of 3-4%

Positioned to finish 2014 strong and drive long-term results

Strategic Platforms
Environmental

Test &
Measurement

Dental

Life Sciences
& Diagnostics

Industrial
Technologies

Water Quality

Communications*

Dental**

Life Sciences

Product ID

$2.0B

$1.0B

$2.9B

$2.5B

$1.6B

Gilbarco VeederRoot

Instruments

Diagnostics***

Automation

$2.0B

$4.8B

$0.8B

$1.6B

Figures represent 2014E adjusted revenues *Not including pending NetScout transaction
**~$750M of 2014E revenue from Nobel Biocare and ~$2.2B of 2014E revenue from Dental platform ; ***~$170M of 2014E revenue from Devicor and ~$4.6B of 2014E revenue from Diagnostic platform

Building a Global Science and Technology Company

Portfolio

Exposure to attractive macro growth drivers

Industrial
Technologies
17%

Digital trends, healthcare, environmental,

regulatory shifts, high growth markets

Environmental
17%

Resilient business models

PID
8%

Dental
14%

Life Sciences
& Diagnostics
35%

Test &
Measurement
17%

Significant exposure to aftermarket and HGM

Large installed base with recurring revenue stream

2014E*

Opportunities for innovation

Digital technology transition

Software as a Service

*Figures represent 2014E adjusted revenues; Includes ~$20 billion of 2014E revenue from Danaher and ~$750 million
and $170 million of 2014E revenue from Nobel Biocare and Devicor, respectively

Revenue

~$21B

GM %

~53%

R&D %

~6.6%

% HGM

~26%

% Aftermarket

~45%

Leading brands. Attractive business models.

Building Our Water Quality Portfolio

ACCURATE
MEASUREMENT

1998

2004

2006

2008

2010

2012

Deployed ~$1.4B of capital on 35 acquisitions since 2001

Improved growth potential

15+ years of water analytics build out
~10 years of expansion into water treatment

Broadening addressable market in strategic fashion

2014

Driving Core Growth with DBS at Hach

Digital marketing & service penetration

Hach

75% increase in HGM headcount since 2011

20% of 2014E China sales from local products
From <20% of revenue in 2002 to >30% in 2014E

R&D investments accelerate future growth

Revenue
CAGR

OP Margin
Expansion

>10%

>1,000bps

HGM Revenue

High Growth Markets

E-commerce revenue growing at 10% CAGR

past 5 years
~400 bps market share increase since 2008

Since
Acquisition

2002

<$80M

5X
2014E

>$400M

20+ new products introduced in last 18 months

DBS and growth investments drive share gains, expand margins

Long-Term Results

+
Revenue $350M
OP
$75M
OP Margin ~21%
Investment ~$0.8B
ROIC
HSD

2001

Acquisitions

Revenue $650M
OP
$75M
OP Margin ~12%

Growth/
Improvement

Revenue ~$1.0B
OP
$360M
OP Margin >30%

WQ Platform today

Revenue
~$2.0B
OP
~$510M
OP Margin >25%
Investment ~$2.2B
ROIC High-Teens

2014E

Organic growth and M&A driving high-teens platform ROIC; additional runway

Our Priorities

Driving growth by investing in the highest impact organic opportunities

New product innovation

Digital investment
Building scale in high growth markets

Optimizing our portfolio to improve and sustain our market-leading positions

Enhancing our competitive advantage with DBS

Committed to creating long-term shareholder value

Innovation Driving Growth

Investments in R&D drive outperformance

Some examples include Product ID, AB SCIEX,

Leica Microsystems (LMS), Dental Technologies
+MSD core revenue growth in 2014E in each

Business

Major Projects

2014E
R&D
Spend

Digital/Softwarebased development

>$250M

Molecular
Diagnostics

~$35M

Fluke Connect

~$10M

EMV Compliant
Solutions

~$5M

Ballast Water
Treatment

~$5M

Product Vitality*
(as a % of 2014E revenue)
>40%

LMS

~30%

Dental Technologies

>25%

Product ID

0%

10%

20%

30%

40%

50%

* Products introduced within last 3 years

Selective and targeted investment spend

Digital Investments Enhance Differentiation

Digital investments driving results

>15% growth in DHR Software as a Service revenue in 2014E

>35% growth in digital dentistry revenue since 2010
Radiometer AQURE providing connectivity for 25% of instrument installed base
Veeder-Root Insite360 installed base >2,300 since early 2014 launch

New shared team of digital solutions experts

Other Data
Mobile/PC
Partner Clouds

Connect
Sensored
Devices

Into Cloud
Storage

Where we use
Analytics

To deliver value to customers (ie. SaaS,

Remote Services, Predictive Service)

Digital/software revenue growing >3X company average

Building Scale in High Growth Markets

2014E* HGM Revenue
~$5.5B or 26% of total

(HGM as % of total sales by segment)

Scale in critical regions & markets

Industrial Environmental
Technologies
17%
17%
Test &
Measurement
17%
Life Sciences &
Diagnostics
41%

Investing in sales & marketing, R&D to

drive growth

Dental
13%

China approaching $2B in revenue

Latin America, Middle East, developing Europe
each >$600M revenues
Focused penetration in key verticals

Danaher Development Center in China

Diagnostics R&D Center in India

On-the-ground leadership in key regions

Asia, India, Middle East, Russia and LATAM

*Figures represent 2014E adjusted revenues; Total revenue includes ~$20 billion of 2014E revenue from Danaher and
~$750 million and $170 million of 2014E revenue from Nobel Biocare and Devicor, respectively

+HSD core revenue growth in HGMs in 2014E

Our Priorities

Driving growth by investing in the highest impact organic opportunities

Optimizing our portfolio to improve and sustain our market-leading positions

Portfolio moves in 2014

Capital allocation

Enhancing our competitive advantage with DBS

Committed to creating long-term shareholder value

Portfolio Moves in 2014

Environmental
# of deals*
5

Test &
Measurement

Dental

Life Sciences
& Diagnostics

MICROBIOLOGY

Building CNG
capabilities

Increasing LATAM
presence at
ChemTreat

Creating a
premier global
provider of
network
management
solutions
through tax-free
RMT transaction

Leading position
in premium
implant market;
Accelerates
workflow
solutions/digital
dentistry strategy

Builds Dx presence
in the hospital

Attractive
adjacency at front
end of tissue Dx

*Includes 18 acquisitions, 1 divestiture, and Comms transaction, in each case announced or closed in 2014

$8B+ acquisition capacity

Industrial
Technologies

Divested
electric vehicle
systems &
hybrid product
lines with
revenue of
~$100M

Our Priorities

Driving growth by investing in the highest impact organic opportunities

Optimizing our portfolio to improve and sustain our market-leading positions

Enhancing our competitive advantage with DBS

DBS is our culture

Growth, Lean, Leadership

Committed to creating long-term shareholder value

DBS is Our Culture

DBS Driving Share Gains in 2014

Operating Company

Driver

Results

Innovative product architecture, accelerated

product development, voice of the customer

Fluke Connect breakthrough driving product

vitality to >25% of YTD revenue

Commercial execution, service penetration,

web marketing

MSD core revenue growth YTD vs. LSD market

Danaher development system improving

reliability and quality during product
development; Funnel management

DD core revenue growth YTD at Veeder Root;

>40% YTD core revenue growth in Gilbarcos
point-of-sale solution

Good commercial execution through sales

force initiatives

~10% core revenue growth YTD

Dynamic resource allocation in HGM; breadth

of product offerings

>40% AQT core revenue growth YTD;

>20% core revenue growth in HGM

Good, better, best product strategy; Funnel

management

MSD core revenue growth for third

consecutive year

Transformative marketing and product

innovation

New product revenue up ~40% YTD;

MSD core revenue growth

DBS driving meaningful share gains across all segments

Significant Margin Opportunities

2014 Q1Q3 Core OMX

(bps)
Danaher

3 of 5 segments ~20% operating margin

70

ITG

120

High gross margin, revenue mix drives

margin expansion in moderate macro
environment

LS&D
ENV

115

4-5 year line of site in Dental and LS&D

~53% gross margin in 2014E

~45% revenue in high margin recurring
revenue/consumables in 2014E

90

2014E productivity spend of ~$125M with

~$100M anticipated payback in 2015

DBS driving path to 20% operating margins

The Best Team Wins

M&A and OpCo-centric portfolio structure

attractive to leaders

Building bench and developing next

generation of leaders

2012

>2,000 early career leaders trained in past 18

months; more than 1,000 in HGMs
New programs for high potentials / president funnel

Rigorous succession planning and

promoting from within

Internal Fill Rate

P&L ownership and close to customers

Cross-OpCo/platform & geographic opportunities

+20%

2014

Internal successor for majority of 30+

president / GM roles filled in 2014
1/3 were cross-OpCo moves

Culture of continuous improvement and winning

Our Priorities

Driving growth by investing in the highest impact organic opportunities

Optimizing our portfolio to improve and sustain our market-leading positions

Enhancing our competitive advantage with DBS

We Compete for Shareholders

Test & Measurement

Jim Lico, Executive Vice President

Test and Measurement Overview

2014E Financials
Revenue
OP Margin

~$3.5B
~19.2%

Market Details
Market Size

~$18B

Growth Rate +LSD/MSD

Growth Drivers
Revenue Breakdown
Geographic

Mix

5%

30%

24%
55%

EU

HGM

ROW

Consumables/Service
Equipment

Digital world
Innovative new products and rapid evolution of technology
Increased network congestion
Proliferation of digital security threats on the rise

Customers

70%

16%

NA

Electronic and industrial technicians

Electrical engineers
Enterprise networks
Network operators / wireless carriers

Well positioned to take advantage of industry growth drivers

2014 Highlights

New products and commercial investments driving growth

Investing in high growth markets

Global launch of Fluke Connect 25k users in first 3 months

MDO 3000 driving 15% revenue growth at Tek for mid-price scopes
Online sales of T&M +35%

+HSD China and Brazil >10% growth at Tek and Fluke through Q3
Fluke launched 3rd generation of products for HGM
Fluke +130 HGM retail storefronts

Combination of Communications business with NetScout

Premier global provider of network management tools and security

solutions for carrier and enterprise customers

Innovation and solid execution improving performance

What You Will Hear Today

Innovating in the most attractive market verticals

Investments in service improving growth profile while enhancing

customer experience

Seizing opportunity in networking NetScout update

Accelerating growth through portfolio innovation

Fluke Connect

Largest portfolio (20+) of wireless-enabled test and

measurement tools

Improving workflow, accuracy and efficiency for

maintenance personnel

Automatic sync, storage, visibility and analysis of critical data

in a cloud environment
Connectivity via mobile device and apps

Advanced analytics, efficient and complete data archive

Technicians efficiency improved >10% vs. traditional tools

Platform to build additional product offerings

SaaS, asset health, maintenance and APIs

Annual revenue run rate of >$30M in Fluke Connect enabled hardware

Tektronix Innovation Leadership

Redefining Radio Frequency (RF)

RF becoming a critical issue for developers

MDO 4000 the worlds first Mixed-Domain

Oscilloscope

>50 billion mobile devices expected by 2020

Increased global regulation in spectrum management

Integrates RF capability into existing design workflow

RSA306 disrupting spectrum analyzer market with

low-cost, real-time capture

USB powered, portable

IDs interfering signals 10x faster vs. conventional tools

Innovative products serving $500M Internet of Things design market

Tektronix Service Solutions

Attractive market with stable growth drivers

Uniquely positioned with broad services and

unmatched reach

Demand for greater asset productivity

Stricter regulation

Over 90 worldwide locations

Ability to calibrate >130,000 items

Tektronix
3rd Party Provider

Service Revenue

DBS driving performance and improving

attachment rate

>2,000 bps OTD improvement in 2014

Contract attachment rate >+500 bps in 2014

2X

2010

2014

$300M service business today, complementing our instruments portfolio

NetScout Update

Superior global scale and best-in-class solutions

Expands market opportunities and growth potential

Combined sales of ~$1.2B

DHRs troubleshooting, cyber security, engineering solutions
complementary to NetScouts high-performance monitoring
Customer base of >300 service providers and >20k
enterprises

Innovation in cloud, big data, analytics

Expanded sales coverage

Attractive/unique way to create shareholder value

Reverse Morris Trust Spin/Split = tax free for shareholders

Nearly doubles investment in Communications business
*Remains subject to closing conditions

Anticipate transaction to close in mid-2015

Summary

Innovating in the most attractive market verticals

Investments in service improving growth profile while enhancing

customer experience

Seizing opportunity in networking NetScout update

Accelerating growth through portfolio innovation

Gilbarco Veeder-Root Platform

Jim Lico, Executive Vice President

Environmental
Water Quality

Gilbarco Veeder-Root

~$10B

~$9B

Market Size

Market Size

~$2.0B

~$1.6B

2014E Revenue
45% Instruments
55% Consumables/Service

2014E Revenue
65% Instruments
35% Consumables/Service

Gilbarco Veeder-Root Overview

2014E Financials
Revenue

Market Details

~$1.6B

Market Size

~$9B

Growth Rate +LSD/MSD

Growth Drivers
Revenue Breakdown
Geographic

Mix

10%

24%
47%

65%

Customers

35%

19%

NA

EU

HGM

ROW

Consumables/Service
Equipment

Environmental and payment security regulations

Increasing adoption of alternative fuels
Larger fueling networks requiring control and automation
Fleet managers looking to improve costs and efficiencies

Major and regional oil companies

Service stations
Local and long-haul trucking fleets

Market leader in fueling and fleet management with adjacent growth paths

2014 Highlights

Solid execution and regulatory changes drive +HSD

core growth at Veeder-Root
U.S. EMV regulations helped drive >40% growth within
in-store point-of-sale solutions
Strategic partnerships and M&A accelerating growth
opportunities

Strengthened payment offering with VeriFone partnership

Entered natural gas fueling with ANGI acquisition

DBS driving innovation and improving quality

Launched Insite360 Fuel cloud service

GVR India plant awarded Most Improved in DHR Asia

Poised to accelerate growth in 2015 and beyond

What You Will Hear Today

Leveraging strong installed base and strategic

partnerships to accelerate growth
Expanding presence in alternative fuel with acquisition
of ANGI Energy Systems
Improving customer workflow and building a recurring
revenue base with Insite360

Well positioned to increase market leading share

EMV Upgrades

Outdoor payment terminal upgrade to EMV driven

by liability shift from credit card companies

Significant growth driver over next 5 years

Widespread data security breaches validate need for

enhanced card security and encryption
Outdoor payment deadline is 2017

>$500M cumulative market opportunity

GVR installed base of 300,000+ dispensers to be
upgraded

Partnership with VeriFone brings most secure

and best encryption to market
EMV for outdoor payment accelerating growth at GVR next 5 years

ANGI Energy Systems

The market leader in compressed natural gas systems

in North America
Attractive opportunity within alternative fuel

Market growing >10% annually

US supply of natural gas at an all-time high
Increased adoption within high margin retail segment

Complementary to existing GVR offerings

Common payment + look and feel from GVR dispenser

Strong position within truck stops to accelerate growth at ANGI
Access key international markets through GVR sales channel

Expanding addressable market by >$200M

Insite360

Enabling remote monitoring, configuration

and control of fuel operations management

Common portal/backend
Remote monitoring/configuration/control

Scalable Software as a Service solution

~$100M market opportunity

Acquisition of FuelQuest adds fuel logistics

Insite360

Remote visibility for small retailers

Analytics/fuel ordering for mid-size retailers
Compliance, alarm and fuel management for
large commercial customers

Automatic tank gauge installed base

penetration of ~80% accelerating adoption

Dispenser

Tank
Gauge

Point of
Sale

Insite360 installed in >2,300 fueling stations since launch

Regulatory
Compliance

Summary

Leveraging strong installed base and strategic

partnerships to accelerate growth
Expanding presence in alternative fuel with acquisition
of ANGI Energy Systems
Improving customer workflow and building a recurring
revenue base with Insite360

Well positioned to increase market leading share

Dental
Henk van Duijnhoven, Senior Vice President

Dental Overview

2014E Financials
Revenue
OP Margin

Market Details

~$2.9B*
~15%

Market Size

~$15B

Growth Rate +LSD/MSD

Growth Drivers
Revenue Breakdown*
Geographic

Mix

5%

19%
51%

35%

Customers

65%

25%

NA

EU

HGM

ROW

Consumables/Service
Equipment

Global demographic trends aging population

Growing middle class in high growth markets
Digitizing the dental practice
Cosmetic and aesthetics dentistry

General practices
Specialists (endo/ortho/perio/surgical)
Group practices
Schools, hospitals and government

Building the leading global dental franchise

*Represents 2014E adjusted revenues; ~$750M of

2014E revenue from Nobel Biocare and ~$2.2B
of 2014E revenue from Dental platform

2014 Highlights

Double digit revenue growth in HGM

$400M+ in revenue; 4X increase from 2005

Investing in innovation to accelerate growth

>20 new products introduced in 2014

>25% increase in R&D spending since 2008

>60bps core margin expansion through Q3 2014

Strengthening position with strategic M&A

Nobel Biocare and three bolt-on acquisitions

Driving growth through Innovation, HGM and M&A

What You Will Hear Today

Leading the global dental market - #1 or #2 brand in

markets we serve
DBS driving margin expansion and enabling investment
in innovation, HGM and digital dentistry
Nobel Biocare acquisition accelerating digital dentistry
and workflow solutions strategy

Better clinical outcomes. Improving patients lives. Well positioned for the future.

Danaher Dental Platform

Hygienists

General Practitioners

Specialists

Special Markets

$15B Total Addressable Market

Leading positions in virtually every key market segment

Investing for Growth

Increasing global reach

~20% CAGR in HGM revenue since 2005

Added >300 FOTS in HGM sales, service,
training and management functions since
2010

+$240M

+$70M

>+$140M

Investing in innovation
Increased R&D spending >25% since 2008
>60 new products introduced since 2012

Expanding footprint in digital dentistry

Imaging: i-CAT FLX, OP300 Maxio

Orthodontics: Insignia & Lythos
Implant and restorative: Tx Studio & Arctica

Gross Profit

S&M / R&D
2008

2014E

Operating
Profit
* Excludes Nobel Biocare

Operating margin improved >450 bps since 2008; Pathway to 20%

Innovation Driving Results i-CAT FLX

Market trends driving need for differentiated

imaging solutions

Breakthrough technology sets a new

standard in 3D imaging

Movement to digital and 3D imaging

Simplification of dental workflow

Clearest 3D and 2D images

Easy to use touch-screen interface
Lower radiation than traditional panoramic x-ray

Tx Studio software integrates with implant

treatment and other applications

North America

Since Launch

Units Sold
Revenue

i-CAT FLX driving share gains within the imaging market

~450
~$50M

Digital Dentistry
Tooth Replacement and Restoration
The Traditional Way

The Digital Way

The Difference

2D x-ray and manual

impression

3D x-ray and digital impression

with intra-oral scan

Safer, simpler process,

better clinical outcome

Manual processing with

many adjustments

Computer-aided diagnostics
and treatment plan

70% faster diagnostics and

treatment planning

Several post-processing
steps

Computer-aided manufacturing
of custom implant abutments
and surgical placement guides

>40% doctor time saved

Minimum of 3 office visits

after implant placed

1 office visit after implant

placed

67% fewer visits

Digital restoration improving productivity >40% with better clinical outcomes

Nobel Biocare Acquisition

Leader in dental implants and digital prosthetics

2014E
Revenue

~$750M

Accelerates our digital dentistry strategy

Gross Margin

~75%

Consumables

~85%

A premier brand in the dental industry

+MSD core growth in Q3 2014

Software / digital and consumables capabilities

Synergistic with DHR expertise in imaging and CAD/CAM
Enabling further convergence of equipment/consumables

Attractive value creation opportunity

<4x Gross Margin/~13x EBITDA (excluding public

company costs)
Significant DBS opportunity

Further strengthening our portfolio with a marquee Dental brand

The Nobel Biocare Advantage

Diagnose
Patient

Design, Plan and

Confirm Prosthetic
Treatment

Produce Surgical
Template

Implant
Surgery

Design and
Produce Final
Restoration

Provide Final
Restoration

NobelClinician

Treatment Collaboration

Surgeon Restoring Dentist Lab

Better results, higher efficiency

Digital Treatment Planning

More predictable outcome

Reduced surgery time

Patient Communication

iPad app
Higher case acceptance

Leading implant player with highly advanced digital workflow capabilities

Summary

Leading the global dental market - #1 or #2 brand in

markets we serve
DBS driving margin expansion and enabling long-term
growth investments
Nobel Biocare acquisition accelerating digital dentistry
and workflow solutions strategy

Better clinical outcomes. Improving patients lives. Well positioned for the future.

Industrial Technologies
Dan Daniel, Executive Vice President

Industrial Technologies Overview

2014E Financials
Revenue
OP Margin

~$3.5B
~22.5%

Market Details
Market Size

~$20B

Growth Rate +LSD/MSD

Growth Drivers
Revenue Breakdown
Geographic

Mix

3%

25%

26%
45%

EU

HGM

ROW

Consumables/Service
Equipment

Digitization allowing for more data; better tracking

Demand for brand consistency / integrity
Changing consumer behavior in HGM
Demand for automation/energy efficient solutions

Customers

75%

26%

NA

Consumer packaged goods

Global packaging and graphics
Machine and equipment OEMs
Medical equipment and devices

Industrial portfolio delivering strong growth and margin improvement

2014 Highlights

Strong core revenue performance

+LSD/MSD segment core revenue growth in 2014E

5th consecutive year of +MSD growth or better at Videojet

Targeted growth investments delivering results

14 products launched at Videojet

>25% revenue growth from brand owners at Esko

Core margin expansion >100bps

Divested $100M product line within Automation

Improved growth profile and record margins with further runway

Product ID What You Will Hear Today

New product development and focus on services accelerating

growth at Videojet
Building market leading presence with brand owners
DBS driving growth and operational improvement at X-Rite
and Esko

Driving consistent +MSD core growth & solid margin expansion

Industrial Technologies
Product ID

~$8B

Automation

~$7B

Market Size

Market Size

$1.6B

$0.8B

2014E Sales
50% Instruments |
50% Consumables / Service

2014E Sales
95% Instruments |
5% Consumables / Service

Videojet Innovating to Fuel Growth

Strengthening in-factory
presence

Advantaged print & apply

labeler eliminates complexity

Broadening application
coverage

Proprietary TIJ performance

for non-porous packaging
and expanded laser range

Expanding offering to deliver

greater uptime performance

Industry-first remote service

Expanded code
management solutions

2014 new product sales increased >30% from prior year

Videojet Expanding Service Capabilities

Enhancing productivity with industry-first

Remote Service for VJ 1000 CIJ inline printers
Improved responsiveness to warning/fault
conditions

Remote alerts for real-time notification

Dashboards for instant visibility to printer activity
Remote recovery through connectivity and
troubleshooting with in-house and Videojet experts

Expanding to full product range; leveraging

predictive analytics
Remote service allows problem resolution >90% faster than field visits

Esko Achieving Growth

with Major Brand Owners
Packaging Management Solution Installations
Food & Beverage

50

Retail & Private Label

40

30

Life Sciences

20

Health, Beauty & Personal Care

10

Consumer Electronics

Other

0
2010

2011

2012

2013

2014 (Nov)

>25% average annual growth with brand owners since 2010

Pantone The Brand Synonymous with Color

PANTONE Color of the Year reinforces position as

The Color Authority

Extensive media coverage and social engagement

for 2015 color: Marsala

Strong influence on core market of 7M+ designers

Supports consulting and licensing business

Expect 3B+ media impressions in the next 120 days

PantoneLive strengthens position at brand owner

Cloud based color management

Color consistency across deign/packaging workflow
Major roll out by P&G and ASDA; >25 additional pilots

PantoneLIVE

CLOUD
ONLINE COLOR

DATABASE

Reinforcing Pantone brand and supporting packaging print workflow

DBS Results Since Acquisition

Operating Margin: Improved >150 bps

while increasing S&M/R&D >15%

OTD: Improved to 95% from 60% using

Transactional Process Improvement,
Daily/Visual Management

R&D OTD: 2X using Lean Software

Development and Speed Design Review

Quality: Danaher Reliability System

improving hardware quality 50%

Operating Margin: Improved >400 bps

OTD: Improved to >95% production, sales,
inventory management
Inventory: Lean Conversion and Kanban
driving 25% reduction
Quality: Daily/Visual Mgmt and Customer
Defect Tracking Resolution reduced
external defects 35%

Substantial financial, commercial and operations improvement; more to come

Product ID Summary

New product development and focus on services accelerating

growth at Videojet
Building market leading presence with brand owners
DBS driving growth and operational improvement at X-Rite
and Esko

Driving consistent +MSD core growth & solid margin expansion

Water Quality Platform

Mark Beck, Executive Vice President

Environmental
Water Quality

~$10B
Market Size

$2.0B

2014E Sales
45% Instruments |
55% Consumables / Service

Gilbarco Veeder-Root

~$9B
Market Size

$1.6B

2014E Sales
65% Instruments |
35% Consumables / Service

Water Quality Overview

2014E Financials
Revenue

Market Details

~$2.0B

Market Size

~$10B

Growth Rate +LSD/MSD

Growth Drivers
Revenue Breakdown
Geographic

Mix

2%
27%
51%

45%

EU

HGM

ROW

Consumables/Service
Equipment

Increasing environmental awareness

Process optimization
Adoption and enforcement of new and existing regulations
High growth markets

Customers

55%

20%
NA

Municipal water facilities

Industrial process and utilities
Environmental and oceanographic institutions

Market leading positions capitalizing on attractive secular growth trends

2014 Highlights

Solid execution and new products driving +MSD core

revenue growth

DBS expanding margins and improving quality at Hach

+HSD new product revenue CAGR since 2011

20+ new products introduced in last 18 months
Trojan Ballast Water IMO type approval; 15 system orders

Gross margin and operating margin >+75bps

Quality improvement +15%

Investment in high growth markets delivering results

+HSD revenue growth

ChemTreat HGM presence 2X with Aguasin acquisition

Strategic investments and new products delivering share gain

What You Will Hear Today

Investing in innovation and new product development

Leveraging digital technology transition to accelerate growth

Winning in high growth markets

Utilizing DBS to accelerate growth

Portable Parallel Analyzer (PPA)

Voice of Customer identified need to simplify

traditional approach to drinking water testing

Traditional

2-3 instruments and 15-30 chemicals

Time consuming, highly manual, inconsistent
Dependent on user skill level

Breakthrough in workflow innovation

1 instrument can run up to 4 tests (ChemKeys) in parallel

>70% reduction in testing time
Error proof execution of EPA-compliant testing regardless
of operator experience

>40 instrument placements in first month

PPA

Instruments to Information

Evolving from sensors and instruments to

information management
Hach RTC monitors and adjusts water treatment
process in real time

Proprietary algorithms optimize treatment process

Reduces cost by treating only when needed
>40% revenue growth in 2014E

PROGNOSYS predictive diagnostics changing

the game

Enables proactive service and calibration

Anchor for additional instrument, service & software
revenue

Leveraging digital technology to enhance the value of Hachs instruments

Digital Marketing
Global Web Visits
>1M visitors annually
2000

2004

2007

2009

2008

2010

Lead Generation (Push)

2011

2012

2013

+60%

Lead Generation (Push/Pull)

SEO/PPC

FIRST WEB
PROMOTION

SOCIAL
MEDIA

ROAS

GLOBAL
EXPANSION

2010

2014

Website Expansion
38 Websites in 19 languages
FIRST
ECOMMERCE
TRANSACTION

LIVE
CHAT

VIRTUAL
TRADESHOW

CUSTOMER 360 &

MARKETING
AUTOMATION

2012

2014

E-Commerce revenue >$50M in 2014E; increased >50% since 2010

Winning in High Growth Markets

>15% Water Quality revenue CAGR (06-14E)

Investing in talent

Local leadership in India, Middle East and Latin America

>40% increase in FOTS at Hach/ChemTreat since 2011

Global product development, localization &

manufacturing

Share gains help deliver 2-3X market growth

~20% of Hach China revenue now from localized products

Acquisitions accelerate growth

Aguasin (2014), Dingli (2012), Trident (2010), and Hexis (2009)

Investments drive HGM revenues from $125M to >$500M since 2006

Expanding ChemTreats presence in Latin

America

Industrial water
treatment and
analytics

Engineering and
construction

Manage process and

wastewater plants

Repairs, services,
maintenance

Strongest commercial presence in Chile

Leader in $300M Chilean water treatment market

Industrial water management
60% service/consumables

14 distributed branch locations

>250 field sales representatives

DBS and ChemTreat selling model to

accelerate growth and profitability

Doubling ChemTreats revenue in HGM

Business Segments

Strengthening HGM presence

Summary

Investing in innovation and new product development

Leveraging digital technology transition to accelerate growth

Winning in high growth markets

Utilizing DBS to accelerate growth

Diagnostics Platform
Arnd Kaldowski, Group Executive

Life Sciences & Diagnostics

Life Sciences Tools

Diagnostics

~$15B

~$25B

Market Size

Market Size

~$2.5B

~$4.8B*

2014E Revenue
65% Instruments
35% Consumables/Service

2014E Revenue
20% Instruments
80% Consumables/Service
*Represents 2014E adjusted revenues;
~$170M of 2014E revenue from Devicor and
~$4.6B of 2014E revenue from Diagnostics Platform

Diagnostics Overview

2014E Financials
Revenue

Market Details

~$4.8B*

Market Size

~$25B

Growth Rate

+MSD

Growth Drivers
Revenue Breakdown
Geographic

Mix

6%
38%

33%

20%

Customers

80%

23%

NA

EU

HGM

ROW

Healthcare expenditures increasing in HGMs

Greater investment in preventative and predictive medicine
Skilled labor shortage & cost pressure driving adoption of
automated solutions

Consumables/Service
Equipment

Hospital labs
Reference labs
Hospital critical care
Histopathology labs

*Represents 2014E adjusted revenues;

~$170M of 2014E revenue from Devicor and
~$4.6B of 2014E revenue from Diagnostics Platform

Comprehensive product offering coupled with scaled, global presence

2014 Highlights

Improved core growth, profitability and quality at Beckman Dx

Gaining market share at Radiometer and Leica Biosystems

Radiometer +HSD growth for 5th consecutive year

Leica Biosystems growing 2X market in Advanced Staining

Continuing to invest in innovation and HGMs

+MSD core revenue growth and OP margin expansion of >150bps

Remaining FDA warning letters lifted

S&M in HGM and R&D spend increased ~10% in 2014E

Launched first SaaS offering in pathology with Aperio ePathAccess

Expanding addressable market with acquisition of Siemens

Microbiology* and Devicor
*Pending

Beckman returns to market growth; Leica Biosytems and Radiometer taking share

What You Will Hear Today

New product launches and go-to-market investments

accelerating growth
Expanding workflow coverage at Leica Biosystems
(LBS) through acquisition of Devicor
DBS improving customer satisfaction and operational
performance at Beckman Dx

Continued focus on growth investments funded through DBS

Growth Investments

Increasing product launch cadence at Beckman Dx

Key product launches at LBS

Automation solutions: Connectivity for DxH800 and FDA

clearance for PowerExpress solutions
Menu expansion: Vitamin D* and Automated AMH* (fertility)
Entering molecular diagnostics segment with Veris*, fully
automated PCR (polymerase chain reaction) solution

FDA clearance for HER2 IHC

First SaaS product offering with Aperio ePathAccess

Continuing to invest in HGMs and R&D

>10% increase in HGM feet-on-street across Dx in 2014E

Joint Dx Software Development Center in Bangalore

2X revenue from new products in 2014E

* Not yet commercially available in the US

Devicor Acquistion

Positions LBS at the front-end of breast cancer workflow

Opportunity for integrated workflow from biopsy to

diagnosis

A leader in vacuum-assisted breast biopsy

$400M market segment growing +MSD

Control sample handling/processing to improve diagnostic quality

Runway to expand into other biopsy market segments

Attractive business model and margin profile with

opportunity to improve using DBS

Installed-base business model

~80% consumables and 70% gross margin

LBS broadest workflow coverage in anatomical pathology

Complementary Workflow

Customer value proposition

Increased sample integrity and tissue quality
Time reduction to accession and to processing of biopsies
Automated data tracking from biopsy to path lab => reduced risk of
sample mislabeling
Reduced exposure to formalin

MammoPort with
Revolve tray
(under
development)

Leica Tissue Processor

Control of sample from point of extraction will improve diagnosis

DBS at Beckman Dx
Since Acquisition
# of reagent SKUs on stock-out

Reduced
>75%

Remediated quality management system

FDA 510(k) clearance of Troponin Assay
Formal closure of all FDA warning letters

Increased instrument reliability >50%

Improved to #1 (from #4) for service
delivery in US*

Q4 2011

Q4 2014

Key Performance
Indicator

2012

2013

2014

OMX (bps)

>300

>150

>150

WC turn improvement

~0.5

>0.5

>0.5

Growth headcount

>200

>200

>200

*Based on IMV customer ranking among major IVD players: SDR3

DBS improving customer satisfaction, expanding margin and funding growth

Summary

New product launches and go-to-market investments

accelerating growth
Expanding workflow coverage at Leica Biosystems
(LBS) through acquisition of Devicor
DBS improving customer satisfaction and operational
performance at Beckman Dx

Continued focus on growth investments funded through DBS

Life Sciences Platform

Rainer Blair, Group Executive

Life Sciences & Diagnostics

Life Sciences Tools

Diagnostics

~$15B

~$25B

Market Size

Market Size

~$2.5B

~$4.8B*

2014E Revenue
65% Instruments
35% Consumables/Service

2014E Revenue
20% Instruments
80% Consumables/Service
*Represents 2014E adjusted revenues; ~$170M of
2014E revenue from Devicor and ~$4.6B
of 2014E revenue from Diagnostics platform

Life Sciences Overview

2014E Financials
Revenue

Market Details

~$2.5B

Market Size

~$15B

Growth Rate

+MSD

Growth Drivers
Revenue Breakdown
Geographic

Mix

11%

35%

26%

65%

Customers

35%

28%

NA

EU

HGM

ROW

Consumables/Service
Equipment

Evolution of life science research

Growth of chronic diseases and infections
Growing regulatory oversight across the industry
HGM investing in basic and applied research capacity

Government & academic research

Clinical research
Food & beverage, pharmaceuticals, forensics
Hospital/Reference labs

Uniquely positioned to capitalize on industry trends and growth drivers

2014 Highlights

Continuing to invest to accelerate growth

DBS driving outstanding results at Leica Microsystems

New product innovation

Focused HGM investment driving >15% revenue growth in Middle
East and Brazil
~30% of 2014E marketing spend allocated to digital investments

+MSD core growth with >100 bps core margin expansion in 2014
Professor Stefan Hell wins Nobel Prize using Leica STED confocal
technology

AB SCIEX outperforming with MSD/HSD core revenue growth

New product cadence continues with launch of 6600 and 3500

Next generation proteomics collaboration with Illumina (OneOmics)

Well positioned to outperform in 2015

AB SCIEX What You Will Hear Today

Commercial execution and product innovation driving

outperformance
Illumina partnership enhancing growth opportunities
and disease research
DBS continues to drive operational improvements

Equipped to grow faster than the market

Commercial Focus and

Execution Driving Outperformance
Market Coverage

Better channel mix

Transformative marketing
Focused campaigns in lower coverage areas

on Conversion
+ Focus
Training on selling and technical skills

AB SCIEX
outperformance vs.
peers
200
bps

200
bps

Verticals with lower win rates

100
bps

= GROWTH
Consistently taking share

Traction in lower performing verticals/geographies

Improved leading position in LCMS market
2012

2013

Focus on coverage and win rate drive market share growth

2014E

Product Innovation
2009

3200 Series

2014
4500 Series

5500 Series

IVD analyzer

Triple Quad 3500

6500 & SelexIONTM

4000 Series

UltraLC

MicroLC

3200 MD

nanoLC

5500 Series

5800

5600 & CESI 800

4600 Series

6600 &SelexION

Completely refreshed product line and best-in-class software capabilities

OneOmics in the Cloud

Cloud computing

Next-gen proteomics (NGP)

Quantify thousands of proteins

Excellent repeatability and
quantitation
Data completeness >98%

Simple, scalable, quick

access
Fast processing
Applications environment

Next-gen sequencing (NGS)

Fast, inexpensive,
comprehensive
Highly accurate and
repeatable

Combining and analyzing NGS/NGP data helps advance disease research

Driving DBS in Operations

Safety

Quality

Delivery

Injury Free
Hours

Installation
PPM

On-time
Delivery

Inventory
Turns

Productivity

+750k

-68%

+16%

+10%

+60%

2010

2014 YTD

2010

2014 YTD

2010

2014 YTD

Inventory Productivity

2010

2014 YTD

2010

2014 YTD

40 kaizens year-to-date to eliminate waste, improve growth and productivity

DBS is the foundation of our sustainable competitive advantage

The Results

Topline outperformance
Core revenue growth >300 bps above market
since 2010

Heavily invested in innovation while right

sizing the cost structure

2009

2014E

~$475M

~$750M

Gross Margin %

~50%

Mid-50%

R&D %

~7%

~10%

Operating Margin %

LDD

~20%

Sales

New TripleTOF expands addressable market

by ~$400M
Gross margin and operating margin
expansion driven by price, lean conversion,
quality improvements

Continued investment in R&D and GTM with significant margin expansion

AB SCIEX Summary

Commercial execution and product innovation driving

outperformance
Illumina partnership enhancing growth opportunities
and disease research
DBS continues to drive operational improvements

Equipped to grow faster than the market

SUMMARY & OUTLOOK

Tom Joyce, President & CEO

What You Heard Today

Driving growth by investing in the highest impact organic opportunities

Optimizing our portfolio to improve and sustain our market-leading positions

Enhancing our competitive advantage with DBS

Committed to creating long-term shareholder value

2015 Outlook

Core revenue growth: 3% to 4%

Adjusted EPS growth: 7% to 10%

~35% operating profit fall-through

Productivity Initiatives

$100M benefit from 2014 initiatives

F/X headwind of ~$550M in revenue and ~$0.11 in EPS, 1H weighted

Amortization of ~$440M or ~$0.46 per share

Tax rate of 24% consistent with 2014

Includes Communications business and 2014 closed acquisitions; excludes Siemens Microbiology and future acquisitions

Expecting Adjusted EPS growth of 7-10% in 2015

2015 Adjusted EPS Guidance

$0.21
$0.31
$0.10
($0.06)
$0.40

($0.11)

$0.15

$4.35
$4.45

($0.07)
$4.06
$3.73

2014 GAAP EPS

(mid-point of
guidance)

Special items*

Non-cash
amortization

2014 Adjusted Growth spending,

EPS (mid-point of wage inflation,
other
guidance)

FX

Contribution from Net 2015 benefit Contribution from

core revenue
of 2014
2014 Acquisitions
growth
productivity
closed
(3%-4%)
initiatives

*See Appendix for details on special items.

2015 EPS Guidance: $4.35-$4.45

2015 Adjusted
EPS guidance

2014 GAAP EPS to Adjusted EPS Reconciliation

Q1 2014

Q2 2014

Q3 2014

Q4 2014*

FY 2014*

FY 2015

GAAP diluted net EPS

$0.81

$0.95

$0.95

$1.00$1.04

$3.71 $3.75

$3.89 $3.99

Gain on sale of
marketable securities

($0.02)

($0.02)

Gain on divestiture of a
product line

($0.04)

($0.04)

Impact from discrete tax

items

($0.01)

($0.01)

Non-cash amortization

$0.09

$0.10

$0.10

~$0.11

~$0.40

$0.46

Adjusted diluted net

EPS

$0.90

$1.03

$1.00

$1.11$1.15

$4.04 $4.08

$4.35 - 4.45

*The above calculation of Fourth Quarter 2014 and Full Year 2014 Adjusted Diluted Net Earnings Per Share includes fourth quarter 2014 (1) gains on sale of marketable equity securities,
which the Company in its third quarter 2014 earnings results press release issued on October 16, 2014 (Q3 Earnings Release) estimated would be $0.07 per share ($80 million pre-tax, $50
million after-tax), and (2) productivity spending, which the Company in its Q3 Earnings Release estimated would be $0.07 per share ($65 million pre-tax, $50 million after-tax) more than the
estimated fourth quarter 2014 productivity spending communicated at the Companys December 2013 Investor Conference ($60 million).

Adjusted EPS Seasonality (as a % of Total FY)

Q1

Q2

Q3

Q4

2014

~22%

~25.5%

~24.5%

~28%

2015

20.5-21.5%

25-26%

24.5-25.5%

28-29%

Danaher Corporation
Reconciliation of GAAP Financial Measures to Non-GAAP Measures
Forecasted Adjusted Diluted Net Earnings Per Share
Year Ending
December 31,
2014

Year Ending December 31, 2015

Low End of
Guidance
Range

Mid-point of
Guidance Range

Diluted Net Earnings Per Share (GAAP)

3.73

High End of
Guidance
Range

3.89

3.99

Impact of discrete tax items in 2014

(0.01)

Gain on sale of marketable equity securities in the nine months

ended September 26, 2014 ($23.5 million pre-tax, $14.7 million
after-tax)

(0.02)

Gain on divestiture of electric vehicle systems product line ($33.9

million pre-tax, $25.5 million after-tax)

(0.04)

0.40

0.46

Add Back Amortization of Intangible Assets

Adjusted Diluted Net Earnings Per Share (Non-GAAP)
Year-Over-Year Adjusted Diluted Net Earnings Per Share Growth
(Non-GAAP) *

4.06

4.35

7%

0.46
$

4.45

10%

* The above calculation of 2014 Adjusted Diluted Net Earnings Per Share includes fourth quarter 2014 (1) gains on sale of marketable
equity securities, which the Company in its third quarter 2014 earnings results press release issued on October 16, 2014 (Q3 Earnings
Release) estimated would be $0.07 per share ($80 million pre-tax, $50 million after-tax), and (2) productivity spending, which the
Company in its Q3 Earnings Release estimated would be $0.07 per share ($65 million pre-tax, $50 million after-tax) more than the
estimated fourth quarter 2014 productivity spending communicated at the Companys December 2013 Investor Conference ($60 million).

*****
Adjusted Diluted Net Earnings Per Share
We disclose the non-GAAP measure of adjusted diluted net earnings per share which refers to GAAP diluted net earnings per share
excluding the items identified in the reconciliation schedule above. This non-GAAP measure should be considered in addition to, and not
as a replacement for or superior to, GAAP diluted net earnings per share, and may not be comparable to similarly titled measures
reported by other companies.
Management believes that this measure provides useful information to investors by reflecting additional ways of viewing aspects of
Danahers operations that, when reconciled to the corresponding GAAP measure, helps our investors to better understand the long-term
profitability trends of our business, and facilitates easier comparisons of our profitability to prior and future periods and to our peers. The
items described above have been excluded from this measure because items of this nature and/or size occur with inconsistent
frequency, occur for reasons that may be unrelated to Danahers commercial performance during the period and/or we believe are not
indicative of Danahers ongoing operating costs or gains in a given period, which we believe may obscure underlying business trends
and make comparisons of long-term performance difficult.
The Company estimates the tax effect of the items identified in the reconciliation schedule above by applying the Company's overall
estimated effective tax rate to the pre-tax amount, unless the nature of the item and/or the tax jurisdiction in which the item has been
recorded requires application of a specific tax rate or tax treatment, in which case the tax effect of such item is estimated by applying
such specific tax rate or tax treatment.