GSK’sVaccines Business

An Vermeersch

105 February 2015

GSK: A science-led global healthcare company

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£26.5bn2013 group turnover

Pharmaceuticals VaccinesConsumer Healthcare

Source: GSK 2013 Annual Report – Published Feb 2014 - http://www.gsk.com/en-gb/investors/corporate-reporting/annual-report/ VGBU/VAC/0003/14

A global presence

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Vaccines in Belgium: Rixensart, Wavre, Gembloux

427/02/2015

deaths prevented every year by vaccination

The value of vaccination

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children saved from disability every year

the benefit of vaccines to low-and middle-income countries

over the next 10 years

estimated annual healthcare savings over the lifetime of the people born that year in the US

Sources: 1.Ereth, J. Vaccine 2003; 21:4111 2.GAVI Alliance Partners’ Forum, December 2012 reported by JHB School of Public Health. 3.Immunization and Infectious Diseases. Healthypeople.gov. June 2013

3 million1 750,000 1 $150bn 2 $43bn3

Only clean drinking water rivals vaccination in its ability to save lives

To the global economyTo global health

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We are proud of the role we have played

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Improving affordability

through tiered pricing

30+licensed vaccines

Rigorousclinical trials

worldwide

Over 100partnerships in

R&D alone

40%of the world’s children receive our vaccines

16candidate vaccines in

development

One standardall over the world

Successin partnerships &

collaborative ventures

Innovation

GSK 2013 Annual Report , published February 2014. http://www.gsk.com/en-gb/investors/corporate-reporting/annual-report VGBU/VAC/0003/14

Big global challenges remain

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Human

children under 5 die every day from largely preventable diseases2

22 millionchildren without access to vaccines1

19,000

Scientific

people, mostly children, died from

malaria in 20123

34 million

630,000

people were living with

HIV in 20114

approximate proportion of the global disease burden borne by Africa5

25%

Economic

$550 millionaverage cost of a new vaccine

manufacturing facility6

Sources: 1. WHO . References April 2013. http://www.who.int/campaigns/immunization-week/2013/event/en/., 2. UNICEF. Millennium Development Goals 2015.

http://www.unicef.org/mdg/index_childmortality.htm, 3. WHO December 2013. Available from: http://www.who.int/mediacentre/factsheets/fs094/en/, 4. WHO. Available from: http://www.who.int/gho/hiv/en/ [last

accessed Dec 2013], 5. WHO, 2013 World Health Statistics report. http://www.who.int/gho/publications/world_health_statistics/EN_WHS2013_TOC.pdf, 6. GSK data on file. 2013.

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A series of environmental challenges and opportunities

are transforming the market

• Increasing emerging market demand

• Increasing private market demand due to patient information and empowerment

Demand dynamics

• Increased payer sophistication (e.g. GAVI, PAHO)

• Public market price pressure (e.g. EU)

• Differential-priced portfolios from Big-5

• Low-cost competitors compete on price

• Potential price advantage through services and solutions

Price levels

• New entrants compete for share: from developed markets & emerging marketsCompetitive industry

• Near-term emphasis on LCM (e.g., male HPV), rather than new blockbusters

• Mid-term high expectation from new categories (e.g., nosocomial, immunotherapeutics)

Technology

Our promise to the

person we help protect

with our vaccines

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Making our vaccines available to as many people as possible

vaccines are delivered every day to people in 170 countries1

vaccines go to developing world2

4 out of 52 million

1. http://www.gsk.com/en-gb/about-us/what-we-do/vaccines/ Last accessed 08/09/14.

2. GSK 2013 Annual Report, P6, published February 2014. 10VGBU/VAC/0003/14

invested in core vaccine R&D in 20131

Innovating where it really matters

£496 million

1.. GSK 2013 Annual Report. http://www.gsk.com/en-gb/investors/corporate-reporting/annual-report

2. http://www.gsk.com/en-gb/research/what-we-are-working-on/product-pipeline/ - last access 08/09/14 11

1 out of 3

of our 16 candidate vaccines target diseases

particularly prevalent in the developing world2

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Staking our reputation on our quality: One global standard

State-of-the-art

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clinical development and manufacturing process

World class

facilities with highly committed and qualified people

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1.GSK 2013 Annual Report. http://www.gsk.com/en-gb/investors/corporate-reporting/annual-report13

Collaborating widely

partnerships in R&D alone1

100+

30 years

of collaborative research to develop our candidate malaria vaccine1

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That’s our promiseto the person we help protect with our vaccines

helping them to do more, feel better, live longer

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