UNAUDITED PRO FORMA CONSOLIDATED STATEMENTS OF OPERATIONS S32 Edwards Lifesciences Corporation Twelve Months Ended December 31, (in millions, except per share data) 2002 2001 2000 Net sales $ 704.0 $ 692.1 $ 775.0 Cost of goods sold 299.1 323.7 411.1 Gross profit 404.9 368.4 363.9 Selling and general expenses 227.9 203.2 198.9 Research and development expenses 65.2 55.0 53.7 Goodwill amortization — 18.5 28.5 Other operating income (11.0) (16.4) (17.4) Operating income 122.8 108.1 100.2 Interest expense, net 11.5 16.7 27.3 Other expense, net (0.7) 4.0 3.7 Income before provision for income taxes 112.0 87.4 69.2 Provision for income taxes 29.1 24.5 18.4 Net income $ 82.9 $ 62.9 $ 50.8 Earnings per diluted share $ 1.35 $ 1.03 $ 0.85 Operating Statistics As a percentage of net sales: Gross profit 57.5% 53.2% 47.0% Selling, general and administrative expenses 32.4% 29.4% 25.7% Research and development expenses 9.3% 7.9% 6.9% Operating income 17.4% 15.6% 12.9% Income before provision for income taxes 15.9% 12.6% 8.9% Net income 11.8% 9.1% 6.6% Effective tax rate 26.0% 28.0% 26.6% The following pro forma information is provided for information purposes and does not represent the historical results of Edwards Lifesciences as reported in the Company’s filings with the Securities and Exchange Commission. The following table sets forth the consolidated statements of operations, excluding certain items as detailed on page S30. This table should be read in conjunction with Edwards Lifesciences’ “Management’s Discussion and Analysis of Financial Condition and Results of Operations” and “Consolidated Financial Statements” found elsewhere in this Annual Report to Shareholders. Results prior to April 1, 2000 are pro forma as Edwards Lifesciences was part of Baxter through the close of business on March 31, 2000. See Note 4 to the “Consolidated Financial Statements” and “Management’s Discussion and Analysis of Financial Condition and Results of Operations” for further discussions of the effects of certain asset divestitures on Edwards Lifesciences’ operations.