Transforming Our Business

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Transforming Our Business
Haemonetics
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We have two strategies to create shareholder value

• Leverage business for improved profitability
• Expand business by leveraging core competencies

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Strategy 1 is working we are transforming our
profitability
FY06 excludes impact of arbitration award
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Strategy 1 is working gross margin continues to
build
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Strategy 1 is working operating margin
continues to build
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Strategy 1 is sustainable

• Deliver annual cost savings from increased
  manufacturing efficiencies (35M over 8 years)
• Rationalize product lines
• Plan expenses to increase at rate lower than
  incremental gross profit growth
• Command accretive operating margins on new
  products or partnerships

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We have two strategies that create additional
shareholder value

• Leverage the core business for greater
  profitability
• Expand the business by leveraging Haemonetics
  core competencies

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Strategy 2 is working leveraging competencies
to transform business
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Patient new products significantly expand market
potential
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Patient Division market potential exceeds 1
billion
MARKET POTENTIAL

• CardioPAT expands market surgical blood salvage
  market
• Orthopedic procedures untapped and growing
• SmartSuction adds new opportunity in premium
  suction

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Donor new products address customer needs
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Donor Division market opportunity exceeds 1
billion
Excludes equipment sales
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Arryx strengthens and diversifies our research
capabilities

• June 2006 acquisition agreement
• Arryx technology particle manipulation through
  laser beams and holograms
• Arryx BioRyx 200 - cell manipulation instrument
  for laboratory use
• Technology separates platelets, red and white
  cells, and bacteria from blood
• COULD LEAD TO DISRUPTIVE TECHNOLOGY

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Acquisition strategically expands our
opportunities to new, adjacent markets
Bubble size represents market size Maroon bubble
represents some potential markets for Arryx
technology
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Integration plan ensures smooth transition and
capitalizes on near term revenue

• Operations to remain in Chicago
• BioRyx 200 marketing plan to be developed
• Next generation products to be developed from
  BioRyx 200 platform with application for other
  markets
• Licensing opportunities to be pursued within and
  outside of healthcare

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Shareholder value transformation model
Model Sustain double digit revenue and
operating income growth Haemonetics Growth
Drivers