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Valeant: An Enduring

Engine for Growth

December 16, 2015

Forward-looking Statements Forward-looking Statements

Certain statements made in this presentation may constitute forward-looking statements,

including, but not limited to, statements regarding guidance with respect to expected

revenues, non-GAAP cash earnings per share, adjusted cash flows from operations and

organic product sales growth, future disclosures, launches and approvals of products,

business development activities, and the 2016 strategic initiatives of Valeant Pharmaceuticals

International, Inc. (the “Company”). Forward-looking statements may be identified by the use

of the words “anticipates,” “expects,” “intends,” “plans,” “could,” “should,” “would,” “may,”

“will,” “believes,” “estimates,” “seeks,” “potential,” or “continue” and variations or similar

expressions. These statements are based upon the current expectations and beliefs of

management, and depend on assumptions, data or methods that may be incorrect or

imprecise and are subject to certain risks and uncertainties that could cause actual results to

differ materially from those described in the forward-looking statements. These risks and

uncertainties include, but are not limited to, risks and uncertainties discussed in the

Company's most recent annual or quarterly report filed with the Securities and Exchange

Commission ("SEC") and other risks and uncertainties detailed from time to time in the

Company's filings with the SEC and the Canadian Securities Administrators ("CSA"), which

factors are incorporated herein by reference. Readers are cautioned not to place undue

reliance on any of these forward-looking statements. The Company undertakes no obligation

to update any of these forward-looking statements to reflect events or circumstances after

the date of this presentation or to reflect actual outcomes.

Note 1: The guidance in this presentation is only effective as of the date given,

December 15, 2015, and will not be updated or affirmed unless and until the Company

publicly announces updated or affirmed guidance.

J. Michael Pearson

Chairman and CEO

Drivers of Valeant’s success

Our decentralized model and talented people, which give

us a competitive edge (speed of decision making and in-

depth customer knowledge)

Our collection of great healthcare brands around the

Our innovative strategies (often disruptive), which have

challenged industry convention

Our relentless focus on providing easy and affordable

access for physicians and patients

Our exceptionally productive approach to R&D

A collection of great brands in a breadth of

therapeutic areas

Valeant 2016 forecast revenues

21% Gastrointestinal (GI)

Emerging markets (including Ophthalmology, Dermatology, and GI sales)

Ophthalmology and Eye Care (B+L)

Dermatology and Skin Care 22%

Oncology, Dentistry, Women’s Health, Neuro and Other

Total: $12.5 – 12.7 B

Dermatology

▪ Great brands in attractive segments

▪ Importance of trust-based physician relationships

▪ Concentrated, specialist prescriber base

▪ Attractive from a payor standpoint

– High component of cash pay

– Reasonably priced products

▪ Lower-cost, lower risk R&D

4-year mkt CAGR: ~5%

▪ Strong underlying global growth

drivers (e.g., demographics)

▪ Attractive specialty Rx and OTC segments

▪ Significant unmet medical needs

▪ Opportunity for lower-risk innovation

▪ Low exposure to reimbursement pressure;

significant cash pay

▪ Durable products

Ophthalmology (B+L)

Gastrointestinal

▪ Concentrated, specialist prescriber population

▪ Less of a priority for many larger pharma companies

▪ Favorable reimbursement

▪ Opportunity for low-risk, incremental innovation

Emerging markets

▪ 1,000+ brands with sales in emerging markets

▪ High growth markets (e.g., Mexico, China, Middle East / North Africa)

▪ Rich pipeline of upcoming launches

▪ Decentralized operating model

▪ Products not dependent on reimbursement

▪ Local R&D capabilities

Valeant Access Program with Walgreens –

Physician/Pharmacist/Patient-led experience

▪ Direct distribution to patients through

Walgreens

▪ All products in Walgreens on

consignment; Walgreens never takes title

▪ Walgreens paid a distribution and

pharmacy fulfillment fee

▪ Valeant sets prices to the patient

▪ Ensures affordable, immediate access to

all Valeant brands in program that

physicians prescribe (for eligible patients)

Branded Access

Program

Branded Generic

Access Program

Our innovative strategies – the early years

▪ Dramatically

reduced OPEX

(e.g., to focus

predominantly on

customer-facing

areas)

▪ Shifted from high-

risk/high-spend

R&D (e.g.

neurology,

virology) to lower

cost “singles and

doubles”

▪ Built unrivaled

M&A capabilities

(e.g., requiring

returns in excess of

cost of capital)

▪ Began building

undervalued

BGx and OTC

businesses

(e.g., in

emerging

markets)

▪ Initiated new

R&D capability

and operating

model (e.g.,

▪ Executed

merger of

equals with

Biovail (strong

strategic fit,

improved tax

2008 2009 2010

▪ ~$600M in revenue

▪ 8% operating margin and 1% growth

▪ Imminent Effudex generics

▪ Bloated cost base and infrastructure

▪ High risk, high spend R&D

▪ Demotivated organization

Our innovative strategies – recent years

▪ Gained critical

mass in

ophthalmology

with acquisition

of B+L

▪ New R&D model

beginning to

pay dividends

▪ Created

attractive

access program

in dermatology

initially through

partnership with

Philidor

▪ Built a leading

US market

position in

dermatology,

with a series

of focused

acquisitions

(e.g., Medicis,

Obagi,

Dermik/Ortho)

▪ Secured entry into

attractive GI space with

acquisition of Salix

▪ Created even better,

branded access

program with Walgreens

▪ Launched with

Walgreens the first

branded generics

program in the US

/14 2015

▪ $12.5-12.7B in revenue

▪ Double-digit organic growth

▪ Great brands around the world

▪ Attractive geographies and TA platforms

▪ Energized and committed talent base

Our R&D model

Rx R&D spend as a % of branded Rx sales

▪ 6 NDAs approved in last 3 years

▪ 200+ active US programs

▪ Dermatology Phase II and

Phase III success rates 3-5x

better than industry averages

▪ Highest 5 year output1 on R&D

spend in the industry

1 Number of NMEs/BLAs approved 2009-'14 for each $1 billion spent; peer set is 15 companies with the highest number of NME/BLA approvals

Our decentralized model

▪ Empowers local leaders to make decisions that are right for their business

▪ Allows us to move with speed and agility

▪ Aligns with our customers’ needs

▪ Ensures strong centralization and controls in key functions/ activities, e.g.,

– Finance

– Compliance

– Audit

– Pharmacovigilance

How you can measure our progress in 2016

▪ Retained all key management talent and added new key hires

▪ Dermatology returned to growth

▪ Maximized Xifaxan – created our first $1B brand

▪ Got approval and successfully launched

– Brodalumab

– Latanoprostene Bunod

– Relistor Oral

▪ Delivered $100-150M in addyi sales in 2016

▪ Brought leverage to ~4.0x by end of 2016

Who you will hear from – Our business leaders

Yang Yang BU Director,

Vision Care China & Japan

Fernando Zarate GM, Mexico, Andean region,

Central America and

Caribbean

Joe Gordon SVP and GM,

Consumer Health Care

Deb Jorn EVP, Dermatology and GI

Dr. Tage Ramakrishna Chief Medical Officer, Head of

R&D and Quality

Robert Rosiello EVP, CFO

Tracy Valorie SVP and GM, Women’s Health

and Bausch + Lomb

Pharmaceutical Division

Mark McKenna VP and GM,

Bausch + Lomb

Robert Rosiello

Executive VP, CFO

Financial guidance

* Non-GAAP (see Appendix)

Previous Q4

2015 Guidance

Revised Q4

2015 Guidance

~$3.25 - $3.45B

~$2.7 - $2.8B

~$4.00 - $4.20

per share

~$2.55 - $2.65

per share

>$1.0B

>$600M

Revenue

Adjusted EPS*

Adj. Cash

Flow from

Operations*

Revised Q4 2015 and full-year 2015 guidance

Midpoint of previous guidance

Midpoint of revised guidance

~$3,350M ~$4.10

Revenue Adjusted EPS*

Philidor separation

Estimated one-time revenue impact from Walgreens transition

Pricing and volume-related changes (e.g., non-promoted products)

~($250M)

~($150M)

~($200M)

~($0.65)

~($0.40)

~($0.45)

~$2,750M ~$2.60

Bridge from previous Q4 2015 guidance

Estimated Q4 Revenue Impact: (~$250M)

Announced Philidor separation October 30

Provided free scripts from October 31 to November 8

Dispensed refills without seeking reimbursement from payors

from November 9 to present

Average cash pay price declined from $67 to $23

Lost ~20% of scripts from business disruption in Q4, virtually all Philidor covered scripts

Philidor separation

Transition to consignment model at Walgreens for

current inventory on hand

Under this arrangement, Valeant will hold title to products sold under this program until dispensed to a patient

Valeant will credit Walgreens for any inventory on hand in its stores or distribution centers as part of transition

Estimated reduction in traditional channel

inventories for the products included in Walgreens

program

One-time revenue impact from Walgreens transition

2016 Guidance

~$12.5B – 12.7B

~$13.25 – 13.75

per share

~$6.9 – 7.1B

Revenue

Adj. EPS*

Adj. EBITDA*

2016 guidance

Previous 2016 Adj. EBITDA* Outlook

2016 Adj. EBITDA* Guidance (Mid-point)

>$7.50B

Dermatology Patient Access Program ramp-up ~($225M)

~$7.0B

Changes in pricing assumptions ~($125M)

Employee retention bonuses ~($75M)

Incremental legal fees ~($75M)

Bridge from previous 2016 EBITDA outlook

Revised 2015

Guidance

Guidance %

over Updated

Guidance

$10.4B – 10.5B ~$12.5B – 12.7B ~21%

Double-Digit Double-Digit NA

$10.23 – 10.33

per share

~$13.25 – 13.75

per share

>$5.4B $6.9 – 7.1B ~30%

Revenue

Organic Growth*

Adj. EPS*

Adj. EBITDA*

2016 guidance vs. revised 2015 guidance

Exchange rates based on current spot rates

No use of balance sheet/acquisitions

Planned impact from generics expected ~($140M) in revenues

Glumetza (Q1); Zegerid (Q3); Nitropress (Q4); Virazole (Q4)

No use of balance sheet/acquisitions

U.S. branded drugs (excluding drugs in the Walgreens program) consistent with PBM, managed care contracts

Other U.S. businesses (e.g., contact lenses, consumer) typically no more than CPI

Ex-U.S. driven by volume, pricing impact is immaterial

Negotiated price discounts for hospital-administered drugs of ~30% (e.g., Nitropress, Isuprel, Virazole, Ammunol)

COGS* ~20-21%

SG&A* ~23-24%

R&D spend ~$400-500M

2016 guidance assumptions (1/2)

Restructuring charges expected <$200M

Higher charges in Q1 and Q2 due to completion of restructuring and integration programs for Salix, Sprout, Synergetics, Amoun, trending downward in Q3 and Q4

Cash tax rate expected to be ~5%

Interest expense ~$1.6B

Sequential quarters for Revenue and Adjusted EPS* are expected to be higher than the previous quarter

2H will be substantially higher than 1H due to ramp up in Walgreen’s programs

Cash Flow Items

Cap Ex - ~$350M

Depreciation - ~$200M

Stock Based Comp - ~$200M (includes impact of employee retention plan)

2016 guidance assumptions (2/2)

Q1 2016

Guidance

$2.8 - $3.1B

$2.35 - $2.55

per share

Dermatology Patient Access Program ramp-up

Continued impact of reduction in channel inventories

Revenue

Adj. EPS*

Q1 2016 guidance

Majority of 2016 free cash flow used for debt pay down

Committed to minimum debt pay down in 2016 of >$2.25B including $562M term loan amortization and $260M maturities

Remain in clear compliance with credit agreement financial maintenance covenants

Senior secured leverage covenant: 2.5x (secured debt to pro forma adjusted EBITDA*)

Interest coverage covenant: 2.25x though March 31, 2016, then 3.0x (pro forma adjusted EBITDA* to pro forma interest coverage)

Net leverage to pro forma adjusted EBITDA* expected to be ~4x by year end

Minimal amortization and maturities until 2018

2016: $822M

2017: $631M

2018: $2,923M + $1,500M (Revolver)

Balance sheet update

Cash flow

“Adjusted cash flow from operations” and “Cash conversion” will no

longer be reported each quarter

Only GAAP Cash Flow will be reported going forward

We will continue to report integration expenses by acquisition on quarterly basis so investors can continue to calculate adjusted cash

flow, if desired

Adjusted EBITDA* will be reported on a quarterly basis

“Cash EPS” to be labeled “Adjusted EPS* (non-GAAP)”

Top 30 global brands

Volume and Price/Mix for total company and U.S. branded Rx business

Changes to planned quarterly disclosures

Deb Jorn: EVP, Dermatology and GI

Background

▪ 30+ years in Pharma industry ▪ Bausch + Lomb; VP and CMO (3 years) ▪ Schering-Plough (5+ years)

– VP for Women’s Healthcare and Fertility – VP for Allergy, Respiratory, and Urology

▪ J&J (2 years) – VP for Internal Medicine

▪ Pharmacia Corporation (2 years) – VP for Detrol / Detrusitol and Urology

▪ Merck (20 years) – Executive Director, Worldwide Human Health Marketing;

Respiratory Products; senior marketing roles

Education

▪ M.B.A., NYU Stern Graduate School of Business Administration

▪ B.A., Rutgers University

Jublia

Onexton

Key Takeaways

• Valeant is the #1 Medical Dermatology Company1 in the U.S.

• Internal R&D efforts resulted in approval of 4 new products in 2014 (Jublia, Onexton, RAM .08, Luzu)

• Strong near-term pipeline expected to sustain organic growth

• Deep, trust-based relationships with dermatologists and podiatrists

• New Valeant Access Program, in partnership with Walgreens, launching in January 2016

Source: Symphony Monthly PHAST Audit MAT October 2015

1. Excluding biologics and oral antibiotics

*Dermatology Rx refers to entire USC2 37000 (Dermatological, Ethical)

**Sales are based on MBS Dollar Sales (MBS represents a standardized dollar

metric based on manufacturer’s published catalog or list prices to wholesalers

Oct 30th 2015 – Nov 8th 2015

No submission of claims to

payors after October 30th

All prescriptions filled at no

cost to patient

Commercial insured and

uninsured only – no

government plans

3 phase transition plan

Phase I:

Initial Transition

Rapidly developed new

access program

Entered into agreement

with Walgreens

Prepared for execution

with excellence

Nov 9th 2015 until new

program in place (before

Jan 30th 2016 Philidor

closing)

$35 cash pay option for

all new and refill

prescriptions sent to

Philidor

Refills already in Philidor

prior to Nov 9th filled for

$0 if previous refill was

that copay or $35

Commercial insured and

uninsured only – no

government plans

Phase II:

Full Transition

Phase III:

Relaunch

Key recent actions

Customer outreach

20 cities covered in 6 weeks by senior management and sales & marketing team

Reaffirmed commitment to Dermatology / Podiatry specialty

Retention

Retained all sales & marketing leaders

Retained all but two sales representatives out of field force of over 350

Maintained historic vacancy rate of 5% (lower than industry norms)

New Access Program

Gathered input regarding key elements of new access program

Established new relationship with leading consumer retailer (Walgreens), streamlining prescription process for patients and physicians

We have retained 81% of dermatology prescriptions

20,000

40,000

60,000

80,000

100,000

120,000

140,000

Pre Post

CoveredUncoveredCashRetail

1 October average pre Philidor

2 November average, excluding Thanksgiving week post Philidor

# of weekly TRx

▪ Retail prescriptions grew by 17% to 66,000, mitigating overall drop in total prescriptions

~116,000

~94,000

Valeant’s new access program

▪ Ensures affordable, convenient patient access

to medicines prescribed by their physician1

▪ Some products as low as $0

▪ Allows physicians, NPs and PAs to focus their

efforts on patient care

▪ Sales force will start providing physicians with

program overview as of Dec 21st

▪ Goal: fully operational January 15th

1 Commercial insured and uninsured only – no government plans

New access program is simpler for patients and

physicians New Approach

HCP sends Rx to Walgreens

Patient picks up

Rx at Walgreens same day

Old Approach

HCP sends Rx to Philidor

Patient calls Philidor with insurance, credit card

2-3 days later Rx arrives at home

9/14 YTD 9/15 YTDQ3 YTD 2014

Q3 YTD 2015

Strong Organic Growth in Dermatology

Valeant Dermatology Revenues

1 Brands launched 2014+: Luzu (Q2 14), Jublia (Q3 14), Ram08 (Q3 14), and Onexton (Q1 15)

$1,266M

New Product Revenue1

$150M/quarter

In-line brand Launch brand1

Total Revenue

Exciting Late-stage Dermatology Pipeline

IDP – 121 (acne vulgaris)

Brodalumab (plaque

psoriasis)

IDP – 122 (plaque psoriasis)

IDP – 118 (plaque psoriasis)

IDP – 120 (acne vulgaris)

Select pipeline products

Gastrointestinal health

Gut GuyTM

Hepatic Encephalopathy (HE) Irritable Bowl Syndrome – diarrhea (IBS-D)

Xifaxan 550mg

DIGITAL

Oct-15

Oct-14

Jul-14

Apr-15

Jan-15

Jul-15

IBS-D indication Drives Xifaxan TRx Growth

*Note: TRx’s are Unit-adjusted each month based on the different Pack Sizes of 42 and 60

Source: Symphony PHAST 2.0

Indication

Retail + Hospital TRx’s*

Launch

Thousands of Xifaxan scripts

+27% TRx

81K Rx / month

64K Rx / month

Up to 8M in US at risk for Chronic Liver Disease1, including those

with Overt HE

Only 2 products are approved for Overt HE: lactulose and Xifaxan

2014 AASLD/EASL Guidelines recommended the addition of Xifaxan to lactulose to maintain Overt HE remission, which has

been shown to reduce risk of Overt HE recurrence by 58% and

hospitalizations by 50%2

Today only 45% of NRx for Lactulose are written with Xifaxan,

creating a large untapped opportunity for Xifaxan to help HE

patients

Xifaxan continues to have substantial growth potential

in hepatic encephalopathy (HE)

1 Includes patients with HepB, HepC, NAFLD, NSH, and OHE; source: National Institute of Diabetes and Digestive and Kidney Disease.

Digestive Diseases Statistics for the United States. Assessed September 7, 2010

2 Bass NM, Mullen KD, Sanyal A, et al. Rifaxamin treatment in hepatic encephalopathy. N Engl Med. 2010;362(12):1071-1081

Increase sales force by a further 100 representatives to

support Xifaxan growth in HE

Expand the GI team in high density areas

Increase continuity of care between sales teams working in

hospitals and out-patient settings

Key actions to accelerate Xifaxan growth

Strong growth of in-line brands

Source: Symphony PHAST 2.0 + VA Procurement, Non-Retail TRx’s are unit-adjusted each month based on the different Pack Sizes of 42 and 60

* Since Ruconest Launched in Dec 2014, Growth Rates are 5 vs. 5 months (instead of 12 vs. 12 months).

Growth

YOY October

Apriso 8%

Uceris 30%

Relistor 33%

Ruconest* 140%

An estimated 3% of the adults in the US are receiving long-

term opioid therapy

41% of those patients, or approximately 3.7 million patients,

develop Opioid Induced Constipation (OIC)

The prescription market for OIC is growing rapidly now that

there is an oral option

In our phase III program, Relistor oral significantly increased the

percentage of patients with a rescue-free bowel movement

(RFBM) within 4 hours

Relistor Oral (April 19, 2016 PDUFA)

Source: Spencer Dorn, et al. American Journal of GASTROENTEROLOGY 2014

Strong Late-stage GI Pipeline

2017+ 2015

Xifaxan

SAL-023

Chronic cirrhosis of liver

Relistor Oral

Opiod induced constipation

SAL-024

Crohn's

SAL-022

Diabetes

SAL -021

Rheumatoid arthritis

SAL-020

Hereditary angioedema

Select pipeline products and launches

Tracy Valorie: SVP and GM, Women’s Health and B+L

Pharmaceutical Ophthalmology

Background

Education

▪ 20+ years in Pharma industry

▪ Bausch + Lomb

– Vice President of Pharmaceutical Marketing

– Former Global Head of Glaucoma

▪ Pfizer

– Global Commercial Lead of Ophthalmology (Xalabrands and Macugen), mid-stage development portfolio, and long-range planning

▪ Experience in discovery, clinical development, commercial assessment, marketing and strategic planning

▪ Previous board membership The Glaucoma Foundation and ARVO Foundation for Eye Research (AFER)

▪ M.B.A., Rensselaer Polytechnic Institute ▪ B.S. Molecular Biology, University of Connecticut

addyi is a breakthrough product with great potential

▪ addyi is the first FDA approved product for Hypoactive Sexual Dysfunction Disorder (HSDD) in premenopausal women and is not the “Female Viagra”

▪ Hypoactive Sexual Dysfunction Disorder effects many premenopausal women

– ~15M premenopausal women have HSDD

– Only 10% diagnosed

– Opportunity to educate on the disease state and expand the diagnosed population

▪ Physician and Patient Education, and managing expectations is critical to success, including:

– Education on disease state

– Physician and patient education on features, benefits, and risks of addyi

Challenge ahead of us: TRx’s are not being filled

Source: McKesson

Oct-23 Oct-30 Nov-06 Nov-13 Nov-20 Nov-27 Dec-04 Dec-11

addyi TRx (# TRx cumulative)

TRx filled

Total TRx

Physician sentiment is positive

Physicians are optimistic

about addyi as an FDA

approved treatment

option

It is fantastic that we have an FDA-approved medication for a woman with a sexual health concern… I did not think this

was possible prior to this day and age

“ ”

We discuss and write scripts for multiple patients in our clinic every day

Physicians who have

experience with addyi are

enthusiastic about its

potential

Physicians caution that

managing expectations is

crucial “ Physicians need to be educated on the

disease state and the product so they can appropriately counsel patients on how the product works and what they can expect

Source: Symphony, RelayHealth as of Dec. 2015, physician outreach

We have a strong assessment of the issues

▪ Limited physician education /

awareness of HSDD and addyi

▪ Confusion around REMS certification

process (physicians and pharmacies)

▪ Sales force targeting not optimal

Go forward plan

▪ Remove barriers to REMS certification

▪ Physician and patient outreach, MSL recruiting

and training

▪ Build an integrated Valeant team (Commercial,

Medical, Sales, etc.)

▪ Improve field force effectiveness

– Revisit targeting and call plan

– Improve reach and frequency on key targets

– Retrain our sales force

– Enhance performance management

▪ Improve patient access (thru Walgreens Access

Program as of Jan. 15th)

Market Access: Continuing to improve

▪ 50% of US lives are covered to date

▪ >1/3 of all US lives have unrestricted coverage

▪ Managed Markets team is working diligently

with our payor stakeholders to improve access Unrestricted coverage

Restricted coverage

U.S. lives covered

Seeking coverage / under negotiation

addyi: 2016 Expectations

USD 100-150M+ net revenue

Mark McKenna: Vice President and General Manager,

Bausch + Lomb

Background

▪ 13+ Years of diverse experience in the eye health category in leadership roles across sales, marketing, operations and strategy

▪ Led the reinvigoration of the U.S. contact lens product portfolio, making Bausch + Lomb the fastest growing contact lens company in the U.S.

▪ Held positions of increasing responsibility in Bausch + Lomb’s sales and marketing division, most recently as Head of Sales and Operations

▪ Global Marketing experience leading new product development projects for Bausch + Lomb from ideation through commercialization

▪ Joined Bausch + Lomb in 2006 after spending several years with Johnson & Johnson Vision Care

▪ Speaker at the 5th Annual Life Science Executive Leadership forum

Education

▪ MBA from Azusa Pacific University

▪ BA in Marketing from Arizona State University

Biotrue lens

The resurgence of an iconic eye care brand

▪ Valeant has transformed the underperforming Bausch + Lomb

(B+L) company into a $1.2B+ diversified vision care business

▪ Products are outgrowing category averages through commercial investments in the US and a decentralized model

▪ Global roll out of contact lens pipeline, which will build on US and Asia success

▪ One of the fastest growing contact lens solution brands in the world

▪ Strong pipeline, with >20 product launches and extensions

planned for next 3 years globally

B+L contact lens business turnaround under Valeant

US B+L contact lens revenue and

growth in millions

▪ Innovation and Organic Growth: Our

investments in R&D, DTC marketing

and manufacturing have allowed us

to drive organic growth in vision care

▪ Distinctive Commercial Model: Our

physician oriented approach has

enabled us to transform Biotrue®

ONEday into one of the fastest

growing daily disposable brands

20% lens CAGR under Valeant

ownership vs 5% lens category CAGR1

2009 2010 2011 2012 2013 2014 2015 2016

-1% -7% -2%

-8% -8%

Source: Management estimates, 3rd party data

1 Category CAGR over same time period

Annual growth

B+L is growing rapidly relative to competitors

Source: 3rd party data, Company filings

Lens sales growth 2013-’15

Market

Average1 5%

1 B+L and top market competitors 2 Excludes private label sales

Solutions sales growth 2013-’15

All others2 2%

Market

Average1

Winning Strategies for Contact Lenses

• Expanded Sales Force by 50% to increase frequency and reach

• Signed multi-year partnership agreements with leading optical

retailers; Vision Source (#2) and NVI (#4)

• Accelerated Bausch + Lomb ULTRA Multifocal & Toric launches

by 12 months

20%+ Annual Growth Next

3 Years

• Upgraded organization with top industry talent

• Formed Professional Strategy group to enhance peer-to-peer

outreach

• Innovative launch strategies to maximize launch trajectory

Forge Higher Performance Leadership Team

Enhance Operational Effectiveness

Strengthen Customer Partnerships

Launch Excellence

Accelerate the Pipeline

Bausch + Lomb ULTRA® is Fastest Growing

Frequent Replacement Contact Lens

Sales: Forecasted to more than double from $45M in 2015 to $100M+ in 2016

Share: Unprecedented 7.9 share within 18 months of launch

Distribution: Gained +13k doorways in 2015 resulting in 22k total ECP’s1 with diagnostic fitting sets

DTC Campaign: Delivered over 1B impressions via Digital, Social, and Paid Search in 2015, and TV spots planned for first half of 2016

9ULTRA share of dollars in FRP category

1 Eye care professionals

Source: 3rd party data, Management Estimates

Bausch + Lomb ULTRA®

Bausch + Lomb ULTRA, a CLEAR standout in recent

Eye Care Professional poll

Cleveland Research Company, Nov 2015

ULTRA Clariti

Freshday

MOIST for

Presbyopia

Acuvue

OASYS One

Air Optix

Colors

When ECP’s Were Asked: Which recently launched lens has gained

the most traction in your practice?

Bausch + Lomb ULTRA® 2016 Launch Activities

Launching Bausch + Lomb ULTRA® for Presbyopia and Astigmatism in 2016

Expand Bausch + Lomb ULTRA® reach by 35% of the market (multifocal and toric)

Halo effect on Spherical business

Investing Multi-Million Dollar in DTC campaign

TV, Digital, Social Media, Search

In-office Digital Displays to create 360 campaign

Targeted Professional Outreach

Largest Eye Care Professional Share of Voice within contact lens industry

High impact launch events to generate awareness and request of new products

Biotrue® ONEday is one of the fastest growing daily disposable brands through a change in go-to-market strategy

US Biotrue ONEday net sales since acquisition

Q3 '13 Q4 '13 Q1 '14 Q2 '14 Q3 '14 Q4 '14 Q1 '15 Q2 '15 Q3 '15

Base trend

Biotrue

ONEday is

on track to

achieve a

60% YOY

growth rate

in 2015

New Product Launches Planned Over the Next

Years Across Lens and Lens Care

2015 2016

Q2 Q3 Q4 Q1

2017 - 2020

BLC-009

(Astigmatism)

Biotrue Multifocal

BLC-007 (Multifocal)

BLC-008

(Astigmatism)

BLO-030

(Disinfectant)

▪ BLC-003 (single vision spherical /

multifocal / astigmatism)

▪ BLC-005 (single vision

spherical / multifocal)

▪ BLC-001 (single vision

spherical)

▪ BLC-006 (single vision spherical)

▪ BLC-002 (cosmetic single vision

spherical)

▪ BLC-004 (Novel Astigmatism)

▪ BLO-027 (Lubricant)

▪ BLO-028 (Lubricant)

▪ BLO-029 (Disinfectant)

Select product pipeline and launches

Yang Yang: Business Unit Director, Vision Care China & Japan

Background

▪ 15+ years China and overseas consumer marketing & sales

experience. Born and raised in Beijing, China

▪ Bausch + Lomb / Valeant (China & Japan)

- Business Unit Director – Vision Care

- Marketing Director – Vision Care

▪ L'Oréal (China)

- Director of e-commerce – L'Oréal Paris, Maybelline, & Garnier

- Marketing Director – Garnier

▪ Johnson & Johnson Consumer Products

- Marketing Manager – Listerine, Carefree, & o.b. (China)

- Brand Manager – Reach & Visine (USA)

▪ Citigroup CitiCards – New Product Development (USA)

▪ Procter & Gamble (China)

- Category Management Manager

- Key Account Manager & Unit Manager

Education

▪ MBA, University of Michigan, Ross School of Business

▪ BA English Language & Literature, Peking University

Valeant China

Vision care is growing strongly in Asia

Thailand Hong Kong

Singapore

Taiwan

Malaysia

Vision care sales $491 million (2015)

+6% annual growth

Valeant China business overview

15% Rx Vision Care 45%

25% Surgical

OTC eye drop

▪ 1st contact lens

company to enter China; the brand

name has been used as synonym for contact lens

▪ B+L is the #1

recognized brand in China and preferred by consumers

▪ B+L is also the #1

vision care brand in China, with fastest growth

Valeant China business by franchise 2015

Total China sales: $ 277M

2014 China lens market by modality revenue & % growth: ~$284M, +3%

2014 China vision care market revenue & % growth: ~$438M, +2%

Lens care

Clear lens Daily Half yearly / Yearly Monthly Cosmetic lens

China Market – All companies

NOTE: USD at constant dollars Source: CLI, credit report and trade intelligence

China is a half yearly / yearly lens market;

cosmetic lens is 1/3 of total lens market

B+L is the #1 and the fastest growing vision care

brand in China

Source: CLI, credit report, and trade intelligence

2013-’14 growth rate

Revenue 2014

Market Share 2014

2 Total

2012 $M

2015 $M

Growth %

Clear lens 46 63 +37%

Cosmetic lens 12 28 +131%

Lens care 21 35 +61%

Total vision care 79 125 +58%

Growth is driven by all three segments

China vision care business

2012 2013 2014 2015

Clear lens revenue

Clear lens portfolio

▪ Diverse full modality portfolio (daily to yearly), different materials (hema /sihy /hypergel), spherical and toric

Drivers of growth

▪ Introducing innovative premium products while continuing to grow user base of long modality lenses

▪ Professional training to ECPs on toric and multifocal

CAGR: 11%

▪ Segment market with multiple offerings and pack sizes

Lens care portfolio

2012 2013 2014 2015

Lens care revenue Drivers of growth

▪ Cross-sell with lens to maximize B+L strong brand equity

CAGR: 17%

Cosmetic lens portfolio

2012 2013 2014 2015

Cosmetic lens revenue

▪ Positioning cosmetic lens as beauty necessity, and B+L as trend setter

Drivers of growth

▪ Variety of patterns and colors, along with full modality offerings CAGR:

▪ Best-in-class team and talent pipeline for future growth

▪ Stable, passionate sales force committed to growing with

customers and consistently delivering results, which exceed

expectations

▪ Robust local portfolio to meet the diverse consumer needs

▪ Insights into customer needs, values, and behavior drive the

development of successful local marketing campaigns

▪ Content-based digital social media model is proven to be

effective and cost efficient

Valeant’s decentralized model has enabled

China business to grow faster than competition

We have a distinctive commercial model

Our pipeline in China is set up to fuel further growth

2015 2016 2017-2019

XUV-005 (Lubricant)

XUV-011 (Multifocal)

XUV-002 (Color)

XUV-004 (Single vision

spherical)

XUV-008 (Lubricant)

XUV-001 (Cosmetic)

Biotrue ONEday

PureVision2 Toric

Bescon half yearly

cosmetic lens

Bescon half yearly

clear lens

2017-2019 NPD Pipeline

Joseph Gordon: General Manager, Consumer Health

Background

▪ 28 years in OTC Health Care

▪ Valeant / B+L (5 years)

▪ Wyeth (19 years)

– VP, Sales

– VP, Marketing, Advil

– GM, Nutritionals Business Unit

▪ GSK (5 years)

Education

▪ B.A. Economics, Rutgers University

Valeant Consumer Healthcare drivers of growth

▪ Strong and diverse portfolio of products

▪ Exceptional retailer relationships

▪ Consumer marketing expertise and effectiveness

▪ Drive recommendations through detailing of: dermatologists, ophthalmologists, and optometrists

▪ Physicians’ intimate involvement in our product development process

-2.0-1.6

1.01.41.5

4.55.3

7.67.77.9

Valeant is one of the fastest growing US consumer

healthcare companies

Source: IRI Market Advantage

Fastest growing US consumer healthcare companies (3-year CAGR)1, %

1 CAGR calculation based on retail sales; Total US 3 year CAGR for latest 52 weeks ending 11-29-2015. Based on biggest manufacturers in Healthcare. Excludes

private Label.

2 Alcon growth figures have been disaggregated from Novartis

Valeant has a strong portfolio of consumer products

Skin Care

Eye Care

Eye Vitamins

Important relationships with key leading retailers

Strong account management

Effective customer marketing

Private label

Eye Care category captain

Comprehensive marketing approach

Print Digital / social media

Professional Television

Integrated and diverse consumer marketing

Consumer Marketing: PreserVision

▪ 88% share of the AREDS vitamin market

▪ First to market with AREDS 2 formula

▪ AREDS clinically proven

▪ Estimated 7M+ diagnosed non-users (growth opportunity)

Net sales

Source: IRI data, NEI incidence and prevalence data

2012 2016E

+8% +15% +17% +20%

AREDS 2

Launch

Campaign

Launch Consumer

Campaign

(continued)

Retail consumption growth

PreserVision

Biotrue is the fastest growing multipurpose contact

solution brand

Biotrue net sales

2016 E 2012 2014

Source: IRI data

Biotrue Challenge

re-launched

CAGR (2012 – 2015)

▪ Biotrue: 23%

▪ Category: 1%

Biotrue fast facts

New users who took the Biotrue Challenge

Doctors’ primary recommendation

1 Million

#1 Contact lens solution at Walmart

Biotrue contact lens solution works like your own eyes – 20 hours of moisture

Biotrue solution

Focusing on the professional

▪ Over 600 sales reps selling to dermatologists, optometrists, and ophthalmologists

▪ Reps have reached 10,000 dermatologists, distributing 15 million samples

▪ CeraVe #1 dermatologist recommended moisturizing brand

Source: Valeant sales force productivity, Symphony Health Survey of Dermatologists

CeraVe has been the fastest growing skincare brand

for four straight years

2016 E

CeraVe core products

CeraVe new products

Net Sales Competitive Trends (2013-2015 CAGR)

▪ Professional support and involvement has driven commercial success

▪ Growth sustained in both core and new products

Category 1%

Source: IRI data

CeraVe has generated a digital buzz on Facebook,

boosting viral impressions by 600%

“The CeraVe Moisturizing

Lotion and Hydrating

Cleanser are just the best

products out there”

- Kathy M.

“I love your Foaming Facial

Cleanser but have recently

fallen in love with your Baby

Wash & Shampoo to clean my

face during the Winter!”

- Diana D.

“My allergist insisted I use

CeraVe…I had no idea they

had so many products!”

- Christie C.

“My dermatologist

recommended CeraVe Skincare

to me yesterday…I’m really

looking forward to trying it out!”

- Emily M.

“Seriously, CeraVe is the best

product ever. Totally obsessed

and refuse to use anything else. I

use the lotion, the wash, all of it.

Great stuff.”

- Melissa M.

“Just bought the am/pm

lotion today and I love it,

my face is so soft and

smooth…”

- April M.

Creating long-term growth

Recent 2016 2017 2018

Healing

ointment1

CeraVe

CeraVe Sun

CeraVe anti-

CeraVe

cleansing bar

Peroxiclear

SootheXP

AREDS 2

Body wash

Anti-itch

AREDS 2

multivitamin

Targeted

therapies

Project

‘lightbulb’

Dry Eye

extension

upgrades /

claims

Product

upgrade

Project

‘moisture’

AREDS 2

advanced

Note: Position of star in box does not reflect anticipated launch timing within a given year

1 All pipeline skin care products planned as part of the CeraVe family

Product

upgrade

Valeant consumer healthcare company is poised to

continue its strong growth trajectory

~$540M

2013 2015

~$625M

~$590M

Valeant US consumer healthcare revenues High single-

digit growth

expected in

Fernando Zarate

General Manager, Valeant Mexico, Andean region,

Central America and Caribbean (CAC)

Background

Education

▪ 24 years in Pharma industry ▪ Valeant-Mexico; General Manager (8 years) ▪ Teva (3+ years)

– OTC-Consumer Business Director ▪ Schering Plough (3+ years)

– Pharma Division Director ▪ SmithKline Beecham (7+ years)

– Consumer business Commercial Director (Venezuela-Andean)

– Commercial Director (Mexico)

▪ M.B.A., IPADE Business School Administration ▪ B.A., Iberoamericana University (Mexico City)

Mexico, Central America, Andean Revenue (Constant US$)

Strong growth across all businesses

Generics (Branded Generics)1

Innovative (Rx)

20152 2014

Device

2 2015 data actual through Oct., on track to outperform forecast for Nov. and Dec.

Growth’14-’15

1 ~90% of generics in Mexico & Andean region sold as Branded Generics

15% growth overall

Branded generics success in region depends on four

defining features

Well-known local brands with strong reputation for quality

▪ Trusted company names: Atlantis,

Tecnofarma, Grossman

Local manufacturing skill and agility

▪ Two local manufacturing facilities

with internal capability to produce

injectables, oral solids, topical, liquids

▪ ~800 manufacturing employees

producing 30M units/year (30% YOY

growth)

Proven commercial model with direct distribution

▪ ~600 sales employees drive

distinctive level of geographic

coverage (92%)

▪ ~45% of sales through direct

distribution channels

First-to-market advantage driven by local R&D

▪ Mexico R&D team: 32 professionals

▪ 9 mo. for Valeant vs. 2-3 years for

competitors to launch new BGx

Mexico, Andean region, Central America and

Caribbean branded generics pipeline

We have plans to release many new branded generics in the

next few years to supplement strong growth in existing offerings

2017 2015

Spagnosan

(osteoporosis)

Ciscotan

(glaucoma)

Sotoldor

(glaucoma)

XUG-002 (glaucoma)

XUG-012 (vaginal infections)

XUG-011 (anti-inflammatory)

XUG-001 (joint pain, RA)

XUG-003 (antifungal)

XUG-004 (oral inflammatory

disorders)

XUG-010 (ocular lubricant) XUG-013 (vaginal infections)

Dr. Tage Ramakrishna

Chief Medical Officer, Head of R&D and Quality

Background

Education

▪ Valeant Pharmaceuticals (4 years)

– Chief Medical officer, Head of R&D and Quality

▪ Progenics Pharmaceuticals (4 years)

– VP Clinical Research

▪ Nycomed (formerly Altana) (5 years)

– Corporate VP International Drug Safety

▪ Insmed, Inc.

– Medical Director

▪ Degge Group

– Pharmacovigilance Consultant

▪ M.D., Karol Marcinkowski University of Medicine

▪ Medical College of Virginia

▪ B.A. in Biology, Rutgers University

R&D team

Valeant R&D at a glance

200 + active

US programs

6 NDAs approved in last three years

43 R&D facilities 13

510K and PMA approvals in last three years 100

MD, PHD, PharmD, JD and DMD degrees

1,000 R&D and quality

employees

R&D: Key messages

Our robust pipeline positions us well for future

growth

We are excited about our numerous upcoming

launches

We have a strong track record of launching products

We are the most productive R&D organization in the

industry

We have a distinctive R&D model with high quality people

Our R&D activities look similar to

other Pharma companies…

▪ Study design leveraging TA expertise

▪ Input from KOLs and customers throughout the

development process

▪ Collaboration between R&D and commercial

▪ Outsourcing rather than fixed infrastructure

▪ Internal expertise in regulatory,

pharmacovigilance, quality, and medical

affairs

Our execution of R&D makes our model distinctive

Eliminate non-value added

bureaucracy

Partner with third parties to leverage capabilities

Empower individuals and regions to make

their own decisions

Terminate non-promising assets

early, based on data

Take actions when needed,

rather than waiting for

committees

Embrace incremental

as well as transformative

innovation

Outside experts participate in key decision meetings

(e.g., portfolio reviews)

Our productivity is higher than peers

Source: Evaluate Pharma, FDA, Capital IQ, Annual reports, Press search

Top 15 average

1 Refers to New Molecular Entity and Biologic License Application 2 Does not include Contact lenses and surgical devices. Does not include B+L and Salix approved products (Fulyzaq, Bepreve and Besivance) that

were not developed under the Valeant model; all other companies include acquired brands, which overstates their productivity

Innovation has nothing to

do with how many R&D

dollars you have. When

Apple came up with the

Mac, IBM was spending at

least 100 times more on

R&D. It's not about money.

It's about the people you

have, how you're led, and

how much you get it

- Steve Jobs

R&D Productivity for 15 PharmaCos with most approvals - 2009-’14 # of NMEs/BLAs1 per $B R&D spend

We believe we are significantly more successful at

developing products than the industry

Source: Pharmaprojects 2014, Management Estimates

1 Average of all competitors from 2010-2014 2 2011-2015

Valeant’s success rate in dermatology2

20%18%

Ph. II Ph. III Ph. I

Valeant2

Industry1

Success rates in dermatology

Global product launches

Source: Management estimates

131 218+ 32

Product launches1, 2014-’15

1 Includes global line products launched in Ex-US markets

How our R&D pipeline was built

We continue to invest in TAs with attractive assets

We have acquired new platforms and capabilities in attractive TAs

In Dermatology, we have built capabilities from discovery to commercialization

Our selection and portfolio de-risking give us an advantage

Post-acquisition, we have supplemented the pipeline where required and de-risked where possible

We are building similar capabilities in Ophthalmology and GI

Internal Inherited In-licensed / purchased

Brodalumab

We have dramatically expanded our significant US

R&D programs

1 US programs only; Includes generics; excludes 90+ programs related to post marketing commitments and other small programs 2 Prior to acquisitions in TA (e.g., B+L in 2013 and Salix in 2015) 3 Includes aesthetics, women’s health, and generics

Dec. 20151 Dec. 2010

Surgical 32 N/A2

17 Consumer 26

Dermatology 9 15

Contact lenses 9 N/A2

Ophthalmology 1 7

GI 6 N/A2

Others3 5 17

Total 32 112

We have good depth of early and late

assets across TAs

1 Prior to Phase III for Pharma, 2018+ expected launch for others 2 Includes Phase III and FDA submitted products 3 Includes aesthetics, women’s health, and generics

1Opthalmology 7

Contact lenses 9

Others3 17

Surgical

Dermatology 15

26 Consumer

Early1 Late2

Significant active US programs as of Dec. 2015

US prescription and generic drugs pipeline Ophthalmology Generics Dermatology

GI In-house development Women’s health

Early stage (Pre Ph. III)

Late stage (Ph. III - submission)

Latanoprostene Bunod:

IDP-118: Psoriasis SAL-020: HAE IDP-120: Acne

IDP-121: Acne SAL-021: RA IDP-125: Actinic

keratosis

Relistor Oral: Opioid induced constipation

IDP-124: Atopic dermatitis

IDP-131: Psoriasis SAL-022: Diabetes

IDP-126: Acne IDP-122: Psoriasis

SAL-024: Crohn’s

SAL-023: Cirrhosis

BLG023: Anti-infective

IDP-127: Anti-fungal IDP-123: Acne

Brinzolamide Gx: OAG

BLO-020: Inflammation

IDP-128: Actinic keratosis

VAL-BRO-03: Psoriatic arthritis

SPT-201: HSDD

BLG020: Disclosing agent

IDP-129: Acne Brodalumab: Psoriasis

BLG021: Anti-infective

IDP-130: Acne BLO-021: Cystoid

Macular edema

BLG022: Anesthetic

EGP-437: Anterior uveitis

BLO-022: Post-operative

inflammation

US OTC pipeline

CER-008: Lotion

CER-007: Lotion

CER-006: Wash

CER-009: Lotion

CER-005: Wash

CER-004: Ointment

CER-003: Oil

CER-002: Cream

CER-001: Oil

PUR-004: Bar

PUR-003: Wash

PUR-002: Wash

PUR-006: Cream

PUR-005: Cream

PUR-001: Wash

STS-001: Spray

CAL-001: Spray

ACF-002: Device

ACF-001: Lotion

BLO-026: Dry eye

OBG-006: Kit

BLO-024: Nutritional

OBG-005: Cleanser

OBG-004: Reformulation

OBG-003: Sunscreen

OBG-002: Skin lightener

OBG-001: Cleanser

BLO-029: Disinfectant

BLO-030: Disinfectant

BLO-028: Lubricant

BLO-027: Lubricant

Early stage Late stage

Aesthetics

Dermatology

Lens Care

Ophthalmology In-house development

Nutritionals

BLO-031: Eye whitener

US Devices pipeline Aesthetics Contact lenses

Surgical In-house development

Late stage Early stage

BLS-021: Retina

BLS-023: Retina

BLS-022: Retina

BLS-024: Retina

BLS-026: Retina

BLS-027: Retina

BLS-028: Retina

BLS-029: Retina

BLS-030: Retina

BLS-031: Retina

BLS-025: Retina

BLS-032: OEM

SOF-010: Skin resurfacing

SOT-010: Fine Lines & wrinkles

SOT-011: Fine Lines & wrinkles

BLS-002: Cataract

BLS-003: Cataract

BLS-004: Cataract

BLS-005: Retina

BLS-006: Cataract

BLS-007: Cataract

BLS-001: Cataract

SOM-010 Vascular Lesions

BLC-008: Astigmatism

BLC-007: MF

BLC-009: Astigmatism

BLS-015: Cataract

BLS-016: Cataract

BLS-017: Therapeutics

BLS-018: Retina

BLS-019: Retina

BLS-020: Retina

BLS-014: Refractive

BLC-001: SVS

BLC-003: SVS/MF/fA

BLC-002: SVS

BLC-004: Toric

BLC-006: SVS

BLS-012: Retina

BLS-008: Cataract

BLS-009: Retina

BLS-010: Cataract

BLS-011: Cataract

BLC-005: SVS/MF

BLS-013: Retina

Ex-US pipeline Dermatology In-house development Ophthalmology

Nutritionals Generics Women’s health Contact lenses

1 Excludes EU Generics (listed on the next page)

Aesthetics

Lens Care

Surgical

Early stage1 Late stage1

XUN-004: Nutritional

XUN-003: Magnesium caps XUO-017: Lubricant XUV-001: Cosmetic

XUN-002: Vitamins XUO-016: Lubricant

XUV-006: Lubricant

XUN-001: Nutitional XUO-015: Dry eye XUD-008: Second degree burns

XUO-018: Lubricant XUV-002: Cosmetic

XUW-002: Osteoarthritis

XUV-003: Aphakia

XUG-002: OAG XUO-002: Glaucoma XUO-009: Glaucoma XUD-002: Sunscreen

XUG-003: Anti-fungal XUO-003: Dry eye XUO-010: Conjunctivitis XUD-003: Lotion

XUG-004: Oral Inflamatory Disorders

XUO-004: Glaucoma XUO-011: Inflammation XUD-004: Device

XUG-009: Hypertension

XUO-005: Lubricant XUO-012: Corneal lesions XUD-005: Cosmetic

XUG-001: RA XUO-001: Inflammation XUO-008: Dry eye XUD-001: cleanser

XUO-006: Decongestant XUO-013: Conjunctivitis XUD-006: Onychomycosis

XUO-014: Dry eye XUD-007: Cosmetics XUO-007: Decongestant

XUV-004: SVS

XUW-001: HSDD

XUV-005: Lubricant XUA-001: Hair removal

LAV-006: Lubricant

LAV-001: Aphakia

XUI-001: IBS-D

XUD-009: Emollient

XUN-006: Nutitional

XUV-007: MF

XUV-011: MF

XUV-008: Lubricant

XUV-009: SVS

XUV-010: Astigmatism

XUV-012: SVS

XUV-013: Astigmatism

XUV-014: Presbyopia

XUV-015: MF

XUG-006: Diabetes

XUG-005: Cholestrol

XUG-013: Vaginal Infections

XUG-010: Ocular lubricant

XUG-011: Anti-Inflammatory

XUG-012: Vaginal Infections

EU generics pipeline In-house development

Early stage Late stage

EUG-012: Glaucoma EUG-044: 0 EUG-070: Copd EUG-095: Glaucoma EUG-026: Local hemostasis

EUG-013: Glaucoma EUG-045: Benign prostatic hyperplasia

EUG-071: Asthma EUG-096: Glaucoma EUG-027: Prevention of deep vein thrombosis

EUG-046: Benign prostatic hyperplasia

EUG-079: Allergy EUG-097: Glaucoma EUG-028: Chronic nevous insufficiency

EUG-047: Rheumatoid arthritis

EUG-080: Allergy EUG-098: Eye infections EUG-029: Chronic nevous insufficiency

EUG-048: Osteoporosis EUG-081: Pain EUG-099: Glaucoma EUG-030: Hypertension

EUG-051: Bacterial infections

EUG-082: Eye vitamins EUG-100: Glaucoma EUG-031: Hypertension

EUG-052: Cell lung cancer EUG-083: Allergy EUG-101: Glaucoma EUG-032: Hypertension, heart failure

EUG-057: Mlaignant melanoma

EUG-033: Hypertension, heart failure

EUG-001: Hypertension EUG-034: Hypertension EUG-059: Lung and pancreatic cancer

EUG-086: Adrenocortical insufficiency

EUG-014: Antispasmotic

EUG-002: Acne vulgaris EUG-035: Angina pectoris EUG-060: Pain EUG-087: Dry eye EUG-015: Hypertension

EUG-003: Atopic dermatitis EUG-036: Hypercholesterolemia

EUG-061: Pain EUG-088: Eye inflamation EUG-016: Dermtitis

EUG-004: Acne vulgaris EUG-037: Hypercholesterolemia

EUG-064: Schisofrenia EUG-089: Eye inflamation EUG-017: Antiseptic

EUG-005: Acne vulgaris EUG-038: Prevention of blod clots

EUG-065: Schisofrenia EUG-090: Dry eye EUG-018: Cough and cold

EUG-006: Hypertension EUG-039: Whitenning cream

EUG-066: Pain EUG-091: Eye infections EUG-019: Eye inflamation

EUG-009: Dermatitis EUG-040: Cosmetics EUG-067: Pain EUG-092: Eye inflammation EUG-020: Chemotherapy induced nauzea

EUG-010: Severe acne EUG-041: Atopic dermatitis EUG-068: Cough and cold EUG-093: Allergy EUG-021: Type II diabetes

EUG-011: Hyperuricemia EUG-042: Bacterial skin lesions

EUG-069: Asthma, copd EUG-094: Dry eye EUG-022: Haemorrhoids - early stage

EUG-084: Glaucoma

EUG-058: Myeloma EUG-085: Allergic conjuctivitis

Generics

Select pipeline opportunities

Brodalumab

Relistor Oral

Latanoprostene Bunod (LBN)

Drug1 Indication Expected launch

US Prevalence

Opioid induced constipation (OIC) with chronic non-cancer pain

2017/18 IDP118 Moderate to severe plaque psoriasis

Reduction of Intraocular pressure in patients with Open Angle Glaucoma (OAG) and Ocular hypertension

Source: Decision Resources, BioMed Tracker

Moderate to severe plaque psoriasis

1 Product candidates, not yet approved by the FDA

Relistor Oral could be a new option for patients

suffering from opioid induced constipation (OIC) with

chronic non-cancer pain

Source: Digestive Disease Week, 2012 (R. Rauck, J.Peppin, R.Israel, J. Carpentino, J.Cohn, S.Huang, E.Bortley, C.Paterson, W.Forbes)

1 Peripherally acting, selective μ-opioid receptor antagonist with restricted CNS penetration 2 Product candidate, not yet approved by the FDA 3 Rescue-free bowel movement - defined as a bowel movement that occurred without laxative use (i.e., no laxative use within 24 hrs prior to the

bowel movement); tested for within 4 hours of dosing during daily dosing period 4 Severe adverse events

27.424.618.1

MNTX 450 mg MNTX 300 mg Placebo

Placebo 12 mg QD

MNTX 3201 Oral formulation Primary Efficacy Endpoint (% of

respondents1)

MNTX 3356 SC Formulation Co-Primary Efficacy Endpoint

▪ Subcutaneous injection currently approved for OIC in patients with advanced illness and chronic non-cancer pain

▪ Oral methylnaltrexone2 300 mg and 450 mg significantly increased the percentage of patients with a RFBM3 within 4 hours

▪ Incidence of SAEs4 was 3% in the all tested groups versus 4% in the placebo group

Latanoprostene Bunod (LBN) ophthalmic solution

(0.024%) combines Latanoprost and Nitric Oxide in a

single molecule to lower Intraocular pressure (IOP)

LBN will be the first novel OAG monotherapy approved in 20 years:

▪ Nitric oxide plays a key role in numerous functions throughout the body including many well documented functions in the healthy eye1

▪ Glaucoma patients have lower levels of ocular nitric oxide than those observed in normal eyes2,3

▪ LBN4 lowers IOP by increasing outflow through both the uveoscleral and trabecular meshwork pathways

▪ PDUFA date – July 21st 2016

1 Culotta E, et al. Science. 1992;258:1862-5 2 Nathanson JA, et al. Invest Ophthalmol Vis Sci. 1995;36:1774-84 3 Galassi F, et al. Br J Ophthalmol. 2004;88:757-760 4 Product candidate, not yet approved by the FDA

Source: Mayo Clinic

Open Angle Glaucoma (OAG)

Clinical Studies Support Viability of LBN (1/2)

Summary of Phase II results Reduction in mean diurnal IOP on day 7, 14 and 28

9.08.9

7.87.7

Day 14 Day 28 Day 7

Latanoprostene bunod 0.024%

Latanoprost 0.005%

P = 0.033 P = 0.015 P = 0.005

In a Phase II dose-ranging study, LBN3 showed positive results including consistently better control of IOP over 28 days as well as a statistically significant greater percentage of responders vs. latanoprost 0.005%1,2

1 Defined as patients achieving an IOP ≤18 mm Hg 2 Weinreb RH, et al. Br J Ophthalmology. 2015;99:738-45 3 Product candidate, not yet approved by the FDA

Clinical Studies Support Viability of LBN (2/2)

Summary of results of two phase III pivotal studies

▪ In two phase III studies LBN provided a mean IOP reduction of 7.5-9.1 mm Hg over three months of treatment (statistically superior to timolol between 2 and 12 weeks)1

▪ LBN3 was safe and well tolerated with no significant adverse events.1,2 Rates for hyperemia were comparable to latanoprost2

1 Data on file 2 Weinreb RH, et al. Br J Ophthalmology. 2015;99:738-45 3 Product candidate, not yet approved by the FDA

R. Todd Plott, MD Dermatologist

Background

▪ 16 years in the pharmaceutical drug development

including at Medicis Pharmaceuticals

▪ Led the development of Solodyn, Vanos, Ziana,

Loprox Shampoo and Ammunol while at Medicis

▪ Over the past 5 years, in solo dermatology practice

in Ft Worth, TX

▪ Unpaid (expenses only paid) Valeant R&D

consultant; holds no Valeant stock

Education

▪ University of Texas Medical Branch Galveston, M.D.

▪ University of Arkansas Heath Sciences - Intern and

Dermatology Residency

▪ National Cancer Institute - Fellowship

• Patients have a medical need for the unique

dermatology drug products that manufacturers provide

• Access to these drugs can be a problem

• Many manufacturers offer drug assistance programs for

patients

• Drug assistance programs have been very helpful to

patients

• Patients do better when they get the medications that

they need

My observations

IDP118 – Topical Treatment of Psoriasis

▪ A combination topical drug product1 containing and

retinoid and a steroid

▪ Phase II clinical results suggest the combination is

superior to the individual components

▪ Expected completion Phase III Studies - Q4 2016

1 Product candidate; not yet approved by the FDA

Brodalumab is an anti–interleukin-17 receptor-A

mAB that could address moderate-to-severe psoriasis

▪ Brodalumab 210 mg was superior to placebo and to ustekinumab1 in treatment of moderate-to-severe psoriasis

▪ Symptoms of psoriasis reduced ~2x faster than the median response time with ustekinumab (4.1 weeks vs. 8.1 weeks)2

▪ Results for Brodalumab3 210 mg were confirmed in two phase III studies

Source: New England Journal of Medicine (M. Lebwohl, B. Strober, A. Menter)

1 At week 12, PASI 75 response rates were significantly higher with brodalumab at a dose of 210 mg and at a dose of 140 mg than with placebo 2 Tested median time to a PASI 75 response for patient arm given 210 mg of brodalumab every 2 week 3 Product candidate, not yet approved by the FDA

PASI 75 response

PASI 100

response

Response rate (%)

11 07 06 08 04 02 03 1

03 10 04 08 07 05

0.3% 19%

02 09 06 11 1

Response rate (%)

37% 27%

Looking forward

▪ We have a history of successes

across key therapeutic areas

▪ We have intelligently invested in

R&D to build a deep and exciting

pipeline

▪ I am passionate about our R&D

model and strategy, and confident

about the future

Drivers of Valeant’s success

Our decentralized model and talented people, which give

us a competitive edge (speed of decision making and in-

depth customer knowledge)

Our collection of great healthcare brands around the

Our innovative strategies (often disruptive), which have

challenged industry convention

Our relentless focus on providing easy and affordable

access for physicians and patients

Our exceptionally productive approach to R&D

J. Michael Pearson Chairman of the Board and Chief Executive Officer

Robert Chai-Onn Executive Vice President, General Counsel and Chief Legal Officer

Robert Rosiello Executive Vice President and Chief Financial Officer

Dr. Pavel Mirovsky President and General Manager, Europe

Dr. Ari Kellen Executive Vice President/Company Group Chairman

Anne Whitaker Executive Vice President/Company Group Chairman

Deb Jorn Executive Vice President Dermatology and GI

Tom Appio Sr. Vice President - Asia Pacific, Managing Director, China

Senior Management Team Panel

J. Michael Pearson

Chairman of the Board

and Chief Executive Officer

Robert Rosiello

Executive Vice President

and Chief Financial Officer

Dr. Pavel Mirovsky

President and General

Manager, Europe

Dr. Ari Kellen

Executive Vice

President/Company Group

Chairman

Anne Whitaker

Executive Vice

President/Company Group

Chairman

Deb Jorn

Executive Vice President

Dermatology and GI

Tanya Carro

Senior Vice President,

Finance and

Corporate Controller

Dr. Tage Ramakrishna

Chief Medical Officer,

Head of R&D and Quality

Tracy Valorie

Senior Vice President and

General Manager,

Women’s Health and

Bausch + Lomb

Pharmaceutical Division

Financial guidance appendix

To supplement the financial measures prepared in accordance with U.S. generally accepted accounting

principles (GAAP), the company uses the following non-GAAP financial measures: Adjusted EPS, non-GAAP

revenue, non-GAAP cost of goods, non-GAAP selling, general and administrative expenses, Adjusted Cash flow from Operations. Reconciliations of these non-GAAP financial measures to their most directly comparable

GAAP financial measure can be found in our earnings release and Form 8-K on Tables 2 through 2b, Table 3,

Table 4 and Table 5.2, respectively. A copy of the earnings release, including financial schedules, is posted on

the “Investors” section of the Valeant.com website. In addition, Adjusted EBITDA is a non-GAAP financial measure that will be provided in our earnings releases and Form 8-K going forward.

The Company does not provide guidance with respect to GAAP financial measures other than revenues or

provide reconciliations to GAAP of its forward-looking [non-GAAP financial measures] due to the inherent

difficulty in quantifying certain amounts that would be required to be included in the GAAP measure of

earnings per share due to their unknown effect, timing and potential significance. Examples of these items

include impairments of assets, gains and losses from the extinguishment of debt, legal settlements, purchases of

in-process research and development assets, and gains and losses from asset sales. Accordingly, the GAAP

calculation of projected net income (loss) is not available for Valeant without unreasonable efforts.

By disclosing the non-GAAP financial measures referenced above, management intends to provide investors

with a meaningful, consistent comparison of the company’s baseline operating results and trends for the periods presented by excluding items that are considered by the company not to be reflective of the

company’s ongoing results. Management uses all of the above named non-GAAP financial measures internally

for strategic decision making, forecasting future results and evaluating current performance. [For example: to

set internal budgets, evaluating company performance, setting incentive compensation targets and planning

and forecasting of future periods] Non-GAAP financial measures are not prepared in accordance with GAAP. Therefore, the information is not necessarily comparable to other companies and should be considered as a

supplement to, not a substitute for, or superior to, the corresponding measures calculated in accordance with

Definition of terms

Adjusted EPS* (non-GAAP) multiplied by Shares Outstanding

Interest

Share Based Compensation

Depreciation

Adjusted EBITDA*

Note: Adjusted EBITDA as defined in our Credit Agreement excludes certain charges and

includes certain pro forma adjustments for acquisitions and divestitures. Details of the

Adjusted EBITDA calculations per our Credit Agreement can be found in our Credit

Agreement, which is filed as an exhibit to our 10-K and can be found in the investor relations

section of the Valeant website.

* See Page * Non-GAAP

Adjusted EBITDA calculation

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