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Presenter Disclosure Information
William Hawkins Chairman and CEO, Medtronic Inc.
FINANCIAL DISCLOSURE Chairman and CEO, Medtronic
Inc.
UNLABELED/UNAPPROVED USES DISCLOSURE N/A
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Collaboration, Innovation and Restoring the
Public Trust

• Bill Hawkins
• Chairman and CEO, Medtronic
• November 16, 2009

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Medical technology has enabled remarkable
advances in the treatment of chronic diseases
60 reduction!
External pacemaker
DEATHS PER 100,000
Implantable cardiac pacemaker
Heart valves
Insulin pumps
Balloon angioplasty
Implantable defibrillator
Transvenous leads
Cardiac resynchronization
Perfusion systems
MRI advanced imaging
CAT scan
Coronary stents
Beating heart surgery
YEAR
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Collaboration is vital to the medical technology
innovation ecosystem
Clinical Community
Regulators
Policymakers
Hospitals
Academia
Industry
Advocacy
Medical Associations
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Physician-industry collaboration plays a critical
role
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Many of todays most important medical devices
are the result of collaborative innovation with
physicians
Diabetes
Cardiovascular Disease
Cardiac Rhythm Disorders
Neurological Disorders
Spinal Conditions Musculoskeletal Trauma
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This is particularly true in the areas of
education and training and essential to the
well-being of patients

• Different from pharmaceuticals
• Bedside to bench to bedside
• Therapies are sophisticated and procedure-based
• Expert training optimizes therapy effectiveness
• Demanded for patient safety

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Trust in this model has been eroded as a result
of highly publicized conflicts of interest
JUNE 21, 2009
Side Effects Are Doctors Loyalties
Divided? Faculty disclose outside payments Some
UW doctors get 6-figure sums from drug, medical
firms By John Fauber
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Medtronic has always been a leader in this area

• Aligned with our mission
• Defines our culture and values
• Cornerstone of our ethics and compliance program
• Provides clear policies and guidance for business
  practices, including our customer interactions
• Required for all employees worldwide
• Early champion AdvaMed Code of Ethics

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As an industry we have made progress
Edwards Lifesciences to Disclose Financial
Relationships with U.S. Physicians
Medtronic to Voluntarily Disclose Payments to
U.S. Physicians
Eli Lilly to Launch Physician Payment Database
Physician Payment Sunshine Merck Joins the Act
but we can and MUST do better
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The Physician Payments Sunshine Act

• An important first step towards transparency
• Key component of healthcare reform
• Levels the playing field
• Provides a uniform standard
• Proprietary information must be protected

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Our evolving approach will continue to reinforce
the benefits of collaboration while restoring the
public trust


REINFORCE
REINFORCE
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We will continue to lead consistent with a set of
principles that will guide our path forward
Principled basis for industry and physician collaboration Principled basis for industry and physician collaboration
Sanctity of MD-patient relationship Minimize biases that could affect the objectivity required for optimum medical decision making
Defined needs and roles All physician roles will be defined and disclosed to demonstrate their intentions All work will meet pre-specified needs
Transparency and external oversight Physician activity will be documented and disclosed to the public Engage objective external medical, social, and ethical experts to review our practices
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Its not just about Public trust, its about
THEIR trust
Angelina Henderson U.S. Cardiac Resynchronization
Therapy to treat congestive heart failure
Chima Miyaori Japan Microdebrider to remove
tonsils causing sleep apnea
Renan Altendorff Brazil Insulin pump to control
diabetes
David Mangram U.S. Intrathecal Baclofen
Therapy to treat symptoms of stroke
Lina Tedesco Italy InterStim Therapy to treat
voiding dysfunctions
Irene Chettiar India Activa DBS Therapy to treat
Dystonia