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UBS Healthcare Conference February 8, 2012

Jeff Campbell Executive Vice President and Chief Financial Officer

Forward-looking Statements Some of the information in this presentation is not historical in nature and may constitute forward-looking statements, which are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. These statements may be identified by the use of forward-looking terminology such as “believes,” “expects,” “anticipates,” “may,” “will,” “should,” “seeks,” “approximately,” “intends,” “plans,” “estimates,” or the negative of these words or other comparable terminology. The discussion of financial trends, strategy, plans or intentions may also include forward-looking statements. These forward-looking statements involve risks and uncertainties that could cause actual results to differ materially from those projected, anticipated or implied by such statements. Although it is not possible to predict or identify all such risks and uncertainties, they may include, but are not limited to, those described in the Company’s annual, quarterly and current reports (i.e., Form 10-K, Form 10-Q and Form 8-K) as filed or furnished with the Securities and Exchange Commission (SEC). You are cautioned not to place undue reliance on any such forward-looking statements, which speak only as of the date such statements were first made. To the degree financial information is included in this presentation, it is in summary form only and must be considered in the context of the full details provided in the Company’s most recent annual, quarterly or current report as filed or furnished with the SEC. The Company’s SEC reports are available at www.mckesson.com under the “Investors” tab. Except to the extent required by law, the Company undertakes no obligation to publicly release the result of any revisions to these forward-looking statements to reflect events or circumstances after the date hereof, or to reflect the occurrence of unanticipated events. GAAP / Non-GAAP Reconciliation In an effort to provide additional and useful information regarding the Company’s financial results and other financial information as determined by generally accepted accounting principles (GAAP), certain materials presented during this event include non-GAAP information. The rationale for management’s use of non-GAAP information, a reconciliation of that information to GAAP, and other related information is available in the supplemental material attached as an appendix to this presentation and posted to www.mckesson.com under the “Investors” tab. The non-GAAP supplementary material is also available as an exhibit to the Company’s Form 8-Ks dated October 25, 2011 and May 5, 2011.

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McKesson Drives Sustained Value Creation

• Attractive markets – Public policy agenda supports greater access and improved efficiency – Demographics drive long-term demand

• Well-positioned businesses with margin expansion opportunities

– Broad value proposition with focus on higher margin products and services drives long-term margin growth in distribution segment

– Diversified technology segment positioned for steady long-term growth – Unique value propositions linking distribution and technology segments

• Strong balance sheet and solid liquidity position used for a

portfolio approach to capital deployment

• Experienced and tenured management team with a steady track record of delivering results

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$112 billion in revenues • Fortune 15

• Headquartered in San Francisco

• More than 36,000 employees

• 2 segments: Distribution Solutions and Technology Solutions

• Founded in 1833

Unless indicated otherwise, presentation reflects results as of FYE11. Number of employees is approximate

McKesson Overview

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Distribution Solutions

• #1 pharmaceutical distributor in U.S. and Canada

• #1 generics distributor

• #2 in specialty distribution and services

• #1 in medical-surgical distribution to alternate care sites

• 2,700+ Health Mart retail pharmacy franchisees

• Comprehensive retail information systems and automation offerings

Technology Solutions

• Serves 50% of all U.S. hospitals

• Leader in revenue cycle and resource management solutions

• Leading RelayHealth claims processing and connectivity business

• 100,000+ physician customers

• #1 in central pharmacy automation for hospitals

• #1 in medical management software and services to Payers

Revenue: Distribution Solutions 97% | Technology Solutions 3% Adjusted Operating Profit: Distribution Solutions 83% | Technology Solutions 17%

Revenue and Adjusted Operating Profit reflect three year average, FY09 – FY11

Leadership Positions In Both Segments

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Business Challenges • Resource constraints • Bundled payments • Reimbursement pressure • Industry consolidation • Adherence

Connectivity Challenges • Efficiency • Transparency • Alignment • Adherence

Healthcare dynamics require broad solutions to drive transformation

UNCERTAIN REGULATORY ENVIRONMENT

Care Challenges • Care coordination • Patient safety • Evidence-based medicine • Medication delivery • Adherence

Healthcare

All Segments Of Healthcare Face Significant Business And Clinical Challenges

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Helping Our Customers Achieve Better Health On Three Dimensions

We enable better clinical outcomes

Better Care We make healthcare businesses run better

Better Business

Better Connectivity

Customers For Life 7

Distribution Solutions Steady Business Positioned For Continued Growth

• Demographics and healthcare reform will drive demand

• Leading market positions, operational excellence and customer focus position McKesson for success

• Growth in higher margin businesses such as Specialty

• Unique value propositions linking distribution and technology

• Attractive industry dynamics given coming generics wave

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• Government support, regulatory pressures, and growing complexity all drive need for more use of technology

• Comprehensive solutions and an intimate understanding of the market give us a unique perspective

• Our diversified portfolio enables us to link our solutions to unmatched customer offerings

• Balance between provider, payer and connectivity businesses provides a platform for steady growth

Technology Solutions Healthcare Technology Poised For Steady Growth

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Consumers • 30 million covered lives

Retail Pharmacies • 26,000 locations

Manufacturers • 450 pharmaceutical • 2,000 medical-surgical • 950 consumer product

Health Plans • 600 payer organizations

(public and private)

McKesson: Creating Value At Every Point Of Care In The Healthcare System

Healthcare Providers • 200,000 physicians • 5,000 hospitals • 10,000 long-term care facilities • 750 home care agencies

McKesson

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$102 $107 $109 $112

FY08 FY09 FY10 FY11

$ Billions

We Have A Track Record Of Steady Revenue Growth…

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$5.0 $5.4 $5.7 $6.0

FY08 FY09 FY10 FY11

$ Billions

A reconciliation of Adjusted Gross Profit (non-GAAP) to its comparable GAAP financial result is available as appendix to this presentation and on the Company’s website, under the “Investors” tab.

…That We Have Leveraged Into Higher Adjusted Gross Profit Growth…

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A reconciliation of Adjusted EPS (non-GAAP) to its comparable GAAP financial result is available as appendix to this presentation and on the Company’s website, under the “Investors” tab.

$3.53 $4.35 $4.85 $5.31

FY08 FY09 FY10 FY11

…And Higher Adjusted EPS Growth

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$0.0

$0.5

$1.0

$1.5

$2.0

$2.5

$3.0

FY06 FY07 FY08* FY09 FY10 FY11

Our Operating Cash Flows Have Steadily Increased

6 Year Moving Average

OCF $ Billions

* FY08 excludes $962 million Securities Litigation payment 14

Share Repurchases $4.6

$9.8 Billion of Capital Deployed from FY08 – FY11

• Accretive and value creating acquisitions

• Measured share repurchase over time

• Internal investment

• Dividend policy periodically reviewed

Acquisitions$3.2

Internal Investments$1.5

$ Billions

We Use A Portfolio Approach To Deploy Capital And Create Shareholder Value…

Financial strength and flexibility to continue to execute our strategy

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$650 million accelerated share repurchase More than $190 million in closed acquisitions, including System C and Portico Quarterly dividend increased from 18 cents to 20 cents per share

$650 million new share repurchase authorization

CAD $920 million pending acquisition of the independent banner and franchise businesses of Katz Group Canada Inc.

1st Half

Dividend Periodically Reviewed

…And We Have Continued To Deploy Capital In Fiscal 2012

2nd Half (to date)

Measured Share Repurchase

Measured Share Repurchase

Value Creating Acquisitions

Value Creating Acquisitions

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Pending Acquisition

• Supports business strategy of expanding our retail and distribution presence in Canada

• Drives growth in our sales of higher margin products and services

• Reinforces our ongoing commitment to the

independent segment

• Leverages our balance sheet strength to reinforce value we bring to our customers while creating value for our shareholders

On January 30, 2012, McKesson and the Katz Group Canada Inc. announced a definitive agreement under which McKesson would purchase the independent banner and franchise businesses of Katz Group for approximately CAD $920 million. McKesson expects to fund the acquisition from its available cash. A closing is targeted in the first half of this calendar year, subject to customary conditions, including all necessary Canadian regulatory clearances.

TRANSACTION SUMMARY

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Solid Year-To-Date Results In Fiscal 2012…

($ in Millions except Adjusted EPS)

A reconciliation of Adjusted Operating Profit, Adjusted Income and Adjusted EPS (non-GAAP) to their comparable GAAP financial result is available on the Company’s website, under the “Investors” tab.

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2011 2010 ChgRevenuesDistribution Solutions 88,585$ 80,912$ 9%Technology Solutions 2,450 2,319 6%

91,035$ 83,231$ 9%

Adjusted Operating ProfitDistribution Solutions 1,721$ 1,560$ 10%Technology Solutions 334 230 45%

2,055$ 1,790$ 15%

Adjusted Income 1,580$ 1,408$ 12%

Diluted WASO 252 264 (5%)

Diluted Adjusted EPS 4.30$ 3.54$ 21%

Nine Months Ended December 31,

…Were Driven By Solid Performance Across The Company

• Solid levels of compensation from our agreements with branded pharmaceutical manufacturers

• In addition to branded pharmaceuticals, focus on higher-margin

products and services – Continued profit growth in market-leading generics programs – Synergies across all businesses through global sourcing initiatives

• Disciplined cost management in both segments of our business

• Diversified technology offering delivers steady operating margin expansion

• Share count aided by capital deployment

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Looking Ahead

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McKesson Drives Sustained Value Creation

• Attractive markets – Public policy agenda supports greater access and improved efficiency – Demographics drive long-term demand

• Well-positioned businesses with margin expansion opportunities

– Broad value proposition with focus on higher margin products and services drives long-term margin growth in distribution segment

– Diversified technology segment positioned for steady long-term growth – Unique value propositions linking distribution and technology segments

• Strong balance sheet and solid liquidity position used for a

portfolio approach to capital deployment

• Experienced and tenured management team with a steady track record of delivering results

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UBS Healthcare Conference February 8, 2012

Jeff Campbell Executive Vice President and Chief Financial Officer

GAAP / Adjusted Earnings (Non-GAAP) Reconciliation

Year Ended March 31, 2011

As Reported (GAAP)

Acquisition-Related

Expenses

Amortizationof Acquisition-

Related Intangibles

Litigation Reserve

Adjustments

AdjustedEarnings

(Non-GAAP)

Gross profit 5,970$ -$ 16$ -$ 5,986$ Operating expenses (4,149) 43 116 213 (3,777) Other income, net 36 (16) - - 20 Interest expense (222) 25 - - (197)

Income from continuing operations before income taxes 1,635 52 132 213 2,032 Income tax (expense) benefit (505) (16) (51) (64) (636)

Income from continuing operations 1,130$ 36$ 81$ 149$ 1,396$

Diluted earnings per common share from continuing operations (a) 4.29$ 0.14$ 0.31$ 0.57$ 5.31$

Diluted common shares 263 263 263 263 263


As Reported (GAAP)

Acquisition-Related

Expenses


Related Intangibles

Litigation Reserve

Adjustments

AdjustedEarnings

(Non-GAAP)

Gross profit 5,676$ -$ 21$ -$ 5,697$ Operating expenses (3,668) - 97 (20) (3,591) Other income, net 43 - - - 43Interest expense (187) - - - (187)

Income from continuing operations before income taxes 1,864 - 118 (20) 1,962 Income tax (expense) benefit (601) - (46) 8 (639)

Income from continuing operations 1,263$ -$ 72$ (12)$ 1,323$

Diluted earnings per common share from continuing operations (a) 4.62$ -$ 0.26$ (0.04)$ 4.85$

Diluted common shares 273 273 273 273

(in millions, except per share data)Reconciliation of GAAP Financial Results to Adjusted Earnings (Non-GAAP)

23 (a) Certain computations may reflect rounding adjustments.


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As Reported (GAAP)

Acquisition-Related

Expenses


Related Intangibles

Litigation Reserve

Adjustments

AdjustedEarnings

(Non-GAAP)

Gross profit 5,378$ -$ 29$ -$ 5,407$ Operating expenses (4,182) - 99 493 (3,590) Other income, net 12 - - - 12 Interest expense (144) - - - (144)

Income from continuing operations before income taxes 1,064 - 128 493 1,685 Income tax (expense) benefit (241) - (49) (182) (472)

Income from continuing operations 823$ -$ 79$ 311$ 1,213$

Diluted earnings per common share from continuing operations (a) 2.95$ -$ 0.28$ 1.11$ 4.35$

Diluted common shares 279 279 279 279


As Reported (GAAP)

Acquisition-Related

Expenses


Related Intangibles

Litigation Reserve

Adjustments

AdjustedEarnings

(Non-GAAP)

Gross profit 5,009$ -$ 27$ -$ 5,036$ Operating expenses (3,531) 4 79 (5) (3,453) Other income, net 121 - - - 121 Interest expense (142) - - - (142)

Income from continuing operations before income taxes 1,457 4 106 (5) 1,562 Income tax (expense) benefit (468) (2) (41) 2 (509)

Income from continuing operations 989$ 2$ 65$ (3)$ 1,053$

Diluted earnings per common share from continuing operations (a) 3.32$ 0.01$ 0.22$ (0.01)$ 3.53$



(a) Certain computations may reflect rounding adjustments.


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As Reported (GAAP)

Acquisition-Related

Expenses


Related Intangibles

Litigation Reserve

Adjustments

AdjustedEarnings

(Non-GAAP)

Gross profit 4,332$ -$ 12$ -$ 4,344$ Operating expenses (3,068) 7 41 (6) (3,026) Other income, net 132 - - - 132 Interest expense (99) 4 - - (95)

Income from continuing operations before income taxes 1,297 11 53 (6) 1,355 Income tax (expense) benefit (329) (4) (20) (81) (434)

Income from continuing operations 968$ 7$ 33$ (87)$ 921$

Diluted earnings per common share from continuing operations (a) 3.17$ 0.02$ 0.11$ (0.29)$ 3.02$



(a) Certain computations may reflect rounding adjustments.