2015 ASTRO INVESTOR MEETING October 20, 2015

Webcast will Begin at 7:30AM Central Time

Agenda

7:30AM Welcome

– Dow Wilson

Our Cancer Care Vision: The Next Big

Advances

– Kolleen Kennedy

Particle Therapy: Building Momentum

– Dow Wilson

Q & A

9:00AM Booth Tour

Fiscal Year 2015

Preliminary Results

EPS Non-GAAP

~$4.29

GAAP

~$4.09

Revenue Growth

Constant Currency

6%

As Reported

2%

FY15 Gross Orders Q4’15 FY’15

Oncology Systems

Constant Currency 5% 6%

Reported Flat Flat

Imaging Components* (30%) (16%)

Particle Therapy ~$140M ~$310M

Fiscal Year 2015 Orders Growth

* Primarily transacted in US Dollars.

Total FY2015 Year-Ending Company Backlog -- $3.5B; up 10%

Fiscal Year 2016 Guidance

Upcoming Investor Events

• Q4/FY2015 Earnings Report - Wednesday, Oct. 28, 2015

2:00 pm PT conference call; details:

http://investors.varian.com/index.php?s=19&item=103

New York meeting – FY2015 Review/FY2016 Outlook

12:00 pm ET, Tuesday, Nov. 3, 2015 at The Benjamin Hotel

Webcast: https://event.webcasts.com/starthere.jsp?ei=1079531

4-5% REVENUE GROWTH*:

$4.45 - $4.55 EPS:

*Assumes current exchange rates

Our Vision: To Help Save Millions of Lives Every Year, Around the World

ASTRO Overview

Users Meeting – ~800 Attendees!

KOL Panel – Global Utilization of Radiotherapy

Focus on:

Innovation – enabling a new era in cancer care

RapidPlan

Multi-Modality Imaging

Intelligent Treatment Delivery

Advanced Analytics

The Role of Protons

A World Without Fear of Cancer We innovate, support and simplify cancer-fighting solutions worldwide.

Dynamic Market

Environment Economic driven healthcare transformation

– move to affordable, accessible, quality care

Expansion, investment in emerging & frontier markets

Modernization, replacements in developed markets

Expanding Global Access to Radiotherapy:

A Lancet Oncology Commission Report

Worldwide Cancer Burden

$2T global economic burden in 2010

10% of patients have access to RT

in low income countries

50-60% of patients with cancer need RT

56% of cancers occur in high income

countries

Cancer Burden Rising 25 Million People

2012 2030

New Cancer Cases 14.1 Million 24.6 Million

Cancer Deaths 8.2 Million 13 Million

Needed by 2035

Coverage of radiotherapy services according to country as determined by global equipment

databases, an activity-based operations model, cancer incidence, and evidence-based estimates

of radiotherapy need.

20,000+ linacs

Expanded software,

service infrastructure

Greatest need in lower

and middle income

countries (LMIC)

Global Radiotherapy Gaps

*8,700 new machines plus 13,000 replacements = 20,700 new machines

Coverage of radiotherapy services according to country as determined by global equipment databases,

an activity-based operations model, cancer incidence, and evidence-based estimates of radiotherapy need.

What is Needed 2015 2035 GAP

Radiation Oncology Centers 7,700 10,900 3,200

Linear Accelerators 13,100 21,800 8,700*

Radiation Oncologists 23,200 45,500 22,300

Medical Physicists 10,000 39,300 29,300

Radiation Technologists 33,300 130,200 96,900

Keys to Closing Gap: Automation, Simplification, Productivity

Needs Growing Fastest Outside US, EU

313

618

319

579

65

103

75

103

0

200

400

600

800

1000

1200

1400

2010 2030

EU developed

NA

Other

BRIC

Source: U.S. Census Bureau

Pe

op

le 6

0 Y

ea

rs a

nd

Old

er

( in

Mil

lio

ns

)

Call to Action & LMIC Target

By 2020

of countries should

have cancer plans that

include radiotherapy.

Population Based

Cancer Control Plans

80%

1.

CTA:

TARGET:

Call to Action & LMIC Target

increase in RT capacity

from 2015 to 2025

Expansion of Access

to Radiotherapy

25%

CTA:

TARGET:

2.

Call to Action & LMIC Target

radiation oncologists

Human Resources

for Radiotherapy 23,000 3.

CTA: TARGET:

RTTs and 33,300

medical physicists in LMIC by 2025 10,000

Call to Action & LMIC Target

of investment by 2025 to

establish radiotherapy

infrastructure and

training in LMIC

Sustainable Financing

to Expand Access to

Radiotherapy

$46B

4.

CTA:

TARGET:

Call to Action & LMIC Target

of LMIC to include RT

services as part of

universal health

coverage by 2020

Align Radiotherapy

Access with Universal

Health Coverage 80%

5.

CTA:

TARGET:

Varian Market Development

Expanding global team

Partnering to build access to cancer care

Governments

Financiers

Clinicians

Patient advocacy groups

Promoting awareness

Lancet Oncology Commission

Media outreach

The Varian Oncology Portfolio

VitalBeam™

Radiotherapy System

New Era Innovation Knowledge-Guided Oncology | Intelligent Treatment Delivery

Advanced Data Analytics

IMAGE – Not Yet Complete

RapidPlan™ Ramp Up

300+ Orders

3,800 Potential Installs

Disease Site Models

Prostate

Prostate (+lymph nodes)

Head & Neck

Lung SBRT

Breast

More Models Coming

KNOWLEDGE-GUIDED ONCOLOGY:

University of Michigan: Spine SBRT Study

Manual RapidPlan

Foy J, et al. An analysis of knowledge based planning for stereotactic body radiation

therapy of the spine [abstract]. Poster presentation at: American Association of

Physicists in Medicine (AAPM) 57th Annual Meeting & Exhibition; July 12-16,

2015; Anaheim, CA.

University of Michigan

Equivalent Quality

Manual RapidPlan

Time 60-90 min 15-20 min

KNOWLEDGE-GUIDED ONCOLOGY:

Royal Surrey County Hospital: Prostate Study

Manual RapidPlan

Time 114 ± 86 min 21 ± 13 min

Equivalent

or better 30% 90%

Better 10% 90%

Courtesy, Royal Surrey County Hospital NHS Foundation, Guilford, UK

Data source on file

0

50

100

150

200

250

300

350

A1A2A3A4B1B2C1D1D2D3E1E2E3F1F2F3F4F5F6

Planning time (min)

conventional RapidPlan

KNOWLEDGE-GUIDED ONCOLOGY:

The Next Big Milestone –

High Definition Radiotherapy

Treatment Ideal:

100% of dose to the tumor; 0% to healthy tissue.

INTELLIGENT TREATMENT DELIVERY:

HEALTHY TISSUE SPARED

Progress Made So Far & What’s Next

The Conformality Continuum

3D CONFORMAL IMRT IGRT SBRT HDRT

INTELLIGENT TREATMENT DELIVERY:

TODAY

High Definition Radiotherapy (HDRT)

INTELLIGENT TREATMENT DELIVERY:

Non-Coplanar Trajectories for Lung SBRT

INTELLIGENT TREATMENT DELIVERY:

IMRT

PATIENT 1

PATIENT 2

VMAT NON-COPLANAR ARC

64 Gy

15 Gy

High Definition Radiosurgery

Coplanar RapidArc SRS

4π High Definition SRS

Brain Stem Brain Stem

50% Rx Dose 50% Rx Dose

INTELLIGENT TREATMENT DELIVERY:

IGRT SBRT HDRT

The Key To

Progress:

Better Dose

Delivery

INTELLIGENT TREATMENT DELIVERY:

IMRT

MR LINAC

3D CONFORMAL

Relative Clinical Value

Iterative CBCT Now Better than Diagnostic CT

TrueBeam 2.0 Clinical CT Iterative CBCT

INTELLIGENT TREATMENT DELIVERY:

FMI: Peter Munro, Lisa Hampton

ARIA Takes the Lead

Winning MOSAIQ conversions

ARRA HITECH MU 2 achieved

InSightive Analytics ramping up

Infor™ interoperability

EPIC, Cerner, McKesson

Cloud-based offering with SaaS model

FlatIron alliance

ADVANCED DATA ANALYTICS

ADVANCED DATA ANALYTICS:

InSightive™ Analytics

50+ Orders

Customizable dashboards

Clinical & operational KPIs

Every ARIA site - potential 3800 Installs

ADVANCED DATA ANALYTICS

ADVANCED DATA ANALYTICS:

One Ecosystem. Infinite Possibilities.

Long Term Growth Drivers Rising Global Cancer Burden

Need to Expand, Modernize RT Infrastructure

Demand for Cost-Effective Solutions

Winning Product Portfolio

TrueBeam Platform

Eclipse, RapidPlan

ARIA, InSightive Analytics, Velocity

Strong Innovation Pipeline

High Definition Radiation Therapy

Multi-Modality Imaging at Point of Care

Iterative CBCT

Largest Installed Base – Upgrades, Replacements

Service Momentum

Building Momentum

Varian Particle Therapy

Number of

treatment rooms

to increase by

over 4x

Proton Therapy World Market Report (Edition 2015), MEDraysintell.

Patients Treated to 2030

41 | VARIAN PARTICLE THERAPY

Commitment

Varian develops

proton treatment

planning;

provides

information

systems for

proton centers

Varian purchases

ACCEL

Instruments

Superconducting

cyclotron clinical

at PSI

Complete

treatment system

delivered to

Rinecker Proton

Center, Munich

(>1,500 patients)

First US

ProBeam®

system delivered

to Scripps Health

in San Diego

Start of clinical

operation at

Scripps Health in

San Diego

6 orders

Compact launch

Eclipse™ proton

algorithm

3 installs

underway

1990s 2007 2009 2011 2014 2015

History of Proton Program

42 | VARIAN PARTICLE THERAPY

Varian Projects Overview

SCRIPPS PT CENTER 3 Rotational and 2 Fixed Beam Rooms

KFMC-KING FAHD MEDICAL CENTER 3 Rotational and 1 Fixed Beam & 1Eye Tx

UNIVERSITY OF MARYLAND 4 Rotational and 1 Fixed Beam Room

GEORGIA PT CENTER (EMORY) 4 Rotational and 1 Fixed Beam Room

PTC ST PETERSBURG, RUSSIA 2 Rotational Gantries

RINECKER PROTON THERAPY CENTER 4 Rotational Gantries and 1 Fixed Beam Room

UT SOUTHWESTERN MEDICAL CENTER 4 Rotational and 1 Fixed Beam Room

CINCINNATI CHILDREN’S HOSPITAL 3 Rotational Rooms

PAUL SCHERRER INSTITUTE (PSI) 1 Gantry Room

NATIONAL TAIWAN UNIVERSITY

2 Gantries 1 Fixed Beam Room

AARHUS PTC - DENMARK 2 Gantries

UK PROTON THERAPY CENTERS UCLH London - 3 Gantries

The Christie Hospital, Manchester - 3 Gantries

HOLLAND PTC 2 Rotational Gantries 1 Fixed Beam

NEW YORK PTC

3 Gantries 1 Fixed Beam Rm 1 RR

43 | VARIAN PARTICLE THERAPY

Hitachi - 3

IBA - 17

ProNova - 4

Varian - 22

Sumitomo - 1

2015 Treatment Rooms Ordered

Varian Establishing Market Leadership Position

44 | VARIAN PARTICLE THERAPY

Why We’re Winning……

• Precision IMPT with Pencil-Beam Scanning

• Fastest Patient Throughput

• Varian Best in Class Oncology Product Suite

• Eclipse treatment planning

• ARIA OIS, data analytics

• Cone Beam CT Imaging/motion management

• Commitment to Innovation, Integration

45 | VARIAN PARTICLE THERAPY

Commitment - Legacy of Investment in Innovation Annual R&D Expenses

$30M $170M

Competitor Varian Particle Therapy Varian Oncology Systems

Synergies with Particle Therapy: • Novel Imaging Techniques

• Workflow Optimization

• Motion Management

• Treatment Planning

• User Interface

46 | VARIAN PARTICLE THERAPY

ProBeam® : Integrated Workflow

Protons

Eclipse ARIA

Treatment Decision Planning OIS Treatment Delivery

Photons

ProBeam 4D Console

TrueBeam 4D Console

One Database

47 | VARIAN PARTICLE THERAPY

What’s Next …

• Cost and Size Reduction

• Workflow Enhancements

• Streamlining Installation, Commissioning

48 | VARIAN PARTICLE THERAPY

Varian Particle Therapy at ASTRO 2015

Featuring Compact, Varian’s Integrated Single-Room Solution

ProBeam

ARIA ECLIPSE

Questions & Answers