UNAUDITED PRO FORMA CONSOLIDATED STATEMENTS OF OPERATIONS  SALES OVERVIEW The following pro forma data are provided for informational purposes and do 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 non-recurring items in  2001 and 2000 , with respect to Edwards Lifesciences (see Note  3 to the “Consolidated Financial Statements”). The non-recurring items in  2001 consist primarily of charges related to the perfusion services divestiture, the impairment of intangible and other assets, and the termination of an interest rate swap contract. The non-recurring items in  2000 consist primarily  of charges and severance costs related to the perfusion products divestiture, and the write-down of certain goodwill and other intangible assets. Partially offsetting the charge in  2000 was a gain from the Novacor divestiture. 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 International Inc. through the close of business on March  31 , 2000 . See Note  3 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. Years Ended December 31,  (in millions, except per share information) 2001 2000 (a) 1999 (a) Net sales $ 692 $ 775 $ 809 Gross profit 368 365 377 Selling, general and administrative expenses 203 199 215 Research and development expenses 55 54 53 Goodwill amortization 19 29 34 Other operating income ( 16 ) ( 17 ) ( 11 ) Operating income  108 100 86 Interest expense, net 17 27 29 Other expense, net 4 4 1 Income before provision for income taxes 87 69 56 Provision for income taxes 24 18 15 Net income  $ 63 $ 51 $ 41 Earnings per diluted share $ 1 . 03 $ 0 . 85 $ 0 . 70 Operating Statistics As a percentage of net sales: Gross profit 53 . 2 % 47 . 0 % 46 . 5 % Selling, general and administrative expenses 29 . 4 % 25 . 7 % 26 . 5 % Research and development expenses 7 . 9 % 6 . 9 % 6 . 5 % Operating income 15 . 6 % 12 . 9 % 10 . 7 % Income before provision for income taxes 12 . 6 % 8 . 9 % 6 . 9 % Net income 9 . 1 % 6 . 6 % 5 . 1 % Effective tax rate 28 . 0 % 27.0 % 26 . 0 % Note: Operating statistics may not foot due to rounding. GLYPH<squareblack> The Japan operations on the equity method of accounting. GLYPH<squareblack> Estimated incremental costs associated with being an independent public company. GLYPH<squareblack> The estimated interest expense associated with the Company’s future debt facilities. (a) Historical amounts through March  31 , 2000 are pro forma and have been adjusted to reflect: 11 Edwards Lifesciences Corporation 2001 Sales   by Region* 2001 Sales   by Product Line* With its extensive  global presence,  Edwards provides  life-saving products  to patients in more  than  80  countries  around the  world . Having  completed  the divestiture  of non-strategic  businesses in  2001, Edwards has a  solid platform  from which  to grow . * Sales exclude the impact of divested  operations. * End customer sales,  excluding the impact of divested operations. (A) Cardiac Surgery 52% (B) Critical Care 33% (C) Vascular 8% (D) Perfusion & Other 7% B A D C 10 Edwards Lifesciences Corporation A B D C