2019 Boston Scientific Performance Report Foreword

April 13, 2020 As we publish this report, the world is facing unprecedented challenges amid the COVID-19 pandemic. During this uncertain time, our priority is to protect and aid the health and safety of our employees, our physician customers and their patients. That has always meant ensuring that our life-changing devices and therapies would be available when needed. Now, it also means finding new and creative ways to support the frontline healthcare providers working tirelessly to address the COVID-19 pandemic. We will continue to make decisions guided by our core values to support our global community.

To help meet the urgent needs of healthcare providers, we have contributed to COVID-19 relief efforts globally through monetary and supply donations, and by providing engineering and manufacturing expertise and resources. This includes donations of personal protective equipment and medical equipment to local hospitals and government agencies. The company is also providing support to children, families and the most vulnerable through direct financial contributions to community and global non-profit organizations including Project HOPE and International Federation of Red Cross and Red Crescent Societies.

It will take time for nations and local communities to heal from the devastating and wide-ranging impact of this complex situation. At Boston Scientific, we have always found our purpose in working alongside healthcare providers to solve some of healthcare’s toughest challenges. Our commitment is unwavering, regardless of the obstacles we face today, and we will emerge from this challenging time stronger, together. To learn more about our actions in response to the COVID-19 pandemic, visit our website. Please note that the following report summarizes the company’s performance in 2019 and includes the letter to our stockholders from our 2019 Annual Report, which was written before the COVID-19 global pandemic. Every day, Boston Scientific is...

2019 Performance Report Feature Patient A Message to Financial Our Mission Boston Scientific Boston Scientific Corporate Social Our Patients Our People Our Planet Our Practices Non-GAAP Highlight Our Stockholders Highlights and Core Values at a Glance by the Numbers Responsibility Reconciliations

2 Feature Patient Highlight

3 A Message to Our Stockholders

9 Financial Highlights

10 Our Mission and Core Values

11 Boston Scientific at a Glance

12 Boston Scientific by the Numbers

13 Corporate Social Responsibility at Boston Scientific transforming the lives of our patients. 16 Our Patients achieving success through our people. 22 Our People helping shape the future of our planet. 44 Our Planet committing to responsible practices. 51 Our Practices

65 Non-GAAP Reconciliations

Throughout this document, unless otherwise noted, all revenue and other growth rates represent fiscal year 2019 compared to fiscal year 2018. Letter from the company’s 2019 Annual Report, written before the COVID-19 global pandemic. Boston Scientific 2019 Performance Report 1 Feature Patient A Message to Financial Our Mission Boston Scientific Boston Scientific Corporate Social Our Patients Our People Our Planet Our Practices Non-GAAP Highlight Our Stockholders Highlights and Core Values at a Glance by the Numbers Responsibility Reconciliations

Katharina Bauer: The Heart of a Champion

The sport of pole vaulting is not for the learned can cause ventricular fibrillation and faint of heart. Competitors sprint down a sudden cardiac death. The next day, she track and launch themselves into the air, made the decision to get a subcutaneous summoning enough speed to clear a implantable cardioverter defibrillator (S-ICD). crossbar high overhead. For 29-year-old Katharina Bauer, pole vaulting is her life’s In April 2018, she was implanted with the passion — or as she says, “her big love.” Boston Scientific EMBLEM™ MRI S-ICD So it’s not surprising that Katharina’s System. The S-ICD system, which includes ” I am gratefulateful forfor everyevery goal is to take her passion all the way a pulse generator and lead placed just to the Olympics. under the skin, monitors Katharina’s heart day, every jump and and sends an electrical shock if it beats There was a time, however, when abnormally fast, protecting her from sudden every training. I love Katharina was unsure whether her cardiac arrest. With continued medical heart was up to the challenge. As a supervision, Katharina returned to training, that I can follow my child, she was diagnosed with a condition describing her defibrillator as a guardian passion. There is that caused her heart to have a perilously angel. Six weeks after the procedure, she high number of beats. While a healthy cleared 4.20 meters at no need for fear as human heart beats about 100,000 times a competition. Less a day, by the age of seven, Katharina than a year later, she long as you feel experienced 6,000 extra beats daily. returned to the Ger- In 2009, she underwent her first heart man Indoor Athletics that fire inside.” surgery. Her condition eventually Championship and Katharina Bauer, worsened to 18,000 extra beats per won a silver medal. Professional Pole Vaulter day, leading to a second heart surgery eight years later. “I am grateful for every day, every jump and every training. I love that I can follow Despite these challenges, Katharina con- my passion,” Katharina says. As she trains tinued to compete as a professional pole to qualify for the next Summer Olympics vaulter and captured a gold medal at the and become the first Olympian with a 2018 German Indoor Athletics Champion- defibrillator to compete, Katharina no ship. At a regular health check after the longer fears for her heart. “I turned it event, her doctor detected another type around,” she tells us. “There is no need of abnormal heartbeat — one Katharina for fear as long as you feel that fire inside.”

Boston Scientific 2019 Performance Report 2 Feature Patient A Message to Financial Our Mission Boston Scientific Boston Scientific Corporate Social Our Patients Our People Our Planet Our Practices Non-GAAP Highlight Our Stockholders Highlights and Core Values at a Glance by the Numbers Responsibility Reconciliations

Dear Stockholders:

We enter 2020 with a forty-year legacy Katharina Bauer, a pole vault competitor Despite multiple challenges in 2019, I’m Mike Mahoney, of advancing science — and forty years for the German National team, is one of proud of how strongly our global team Chairman and guided by our mission to transform lives those patients. Since she was young, performed across businesses, functions CEO through medical solutions that improve the Katharina has had a heart condition that and regions. While we strive to deliver high health of patients around the world. Our causes her heart to beat irregularly. In quality results each quarter, we are ever company has achieved a great deal in its April 2018, her doctors implanted our vigilant about what lies further ahead, and four decades, and those accomplishments EMBLEM™ MRI subcutaneous implantable the ongoing need to adapt to the rapidly put us on solid footing for the future. As cardioverter defibrillator (S-ICD) system. It evolving healthcare environment. We must we move into the next decade, we face monitors her heart and sends an electrical reduce the costs of improving outcomes challenges from the growing burden of current to reset it, if necessary. Six weeks and do more to benefit healthcare systems chronic conditions among an aging after her device was implanted, Katharina as a whole. This work requires a relentless Scientific has grown organic sales2 at an population, the demands of value-based started competing again. Within a year, sense of urgency. We call it winning spirit, average rate of 7 percent. We’ve improved care and new, disruptive competitors. she won a silver medal at the German and it drives us to meet future challenges adjusted operating margin1 380 basis These trends also represent opportunities, Indoor Athletics Championship. Today and to develop and deliver the highest points and used that to drive an average and I am energized and inspired by the she has ambitions to compete in the quality and safest products and solutions. 14 percent growth3 in adjusted earnings significant advancements we have made next summer Olympics. per share1 over the five-year period. On and will continue to make, and by the 2019 Business Results 12/31/19, the closing price of our common lives that have been extended or For our 36,000 employees, our mission In 2019, Boston Scientific strengthened our stock represented a full-year return of 28 enhanced because of our products. and stories like Katharina’s fuel our pursuit portfolio and capabilities while delivering percent, in line with the total return of the In the last year alone, we helped more of innovation — for the sake of patients, strong revenue and adjusted earnings per S&P 500 index. Our five- and three-year than 30 million patients. society and our stockholders. share growth.1 These financials continue total stockholder returns of 241 percent a more than five-year trend of excellent and 109 percent, respectively, more than performance. During this time, Boston doubled the total returns of the S&P 500.

Helped ~30 million patients ~36,000 employees Full-year sales: $10.735 billion Organic sales growth: 7%2 5-Year total stockholder return: 241%

Comparison of 5-Year Cumulative Total Return* adjusted free cash flow9 while continuing cash flow position Boston Scientific to to increase productivity, reduce costs, continue to drive stockholder value. $350 Boston Scientific Corporation S&P Health Care Equipment and redirect savings to high-growth S&P 500 technologies that strengthen our Investing for Growth * $100 invested on 12/31/14 in stock portfolio and capabilities for the future. Our approach to innovation includes or index, including reinvestment of dividends. Fiscal year ending a mix of organic research programs, December 31. $100 Our strategy of category leadership in collaborations, and strategic investments © 2020 Standard & Poor’s, a division key markets and portfolio diversification and acquisitions that enrich the medical of S&P Global. All rights reserved. into high growth adjacencies is working. specialties we serve. Our products are 2014 2015 2016 2017 2018 2019 We expect to continue to expand our used to help diagnose or treat complex presence in new markets and regions diseases and conditions across multiple and to make our technologies accessible fields: cardiovascular, respiratory, digestive, 350 Our full-year sales in 2019 were $10.735 Specialty Pharmaceuticals8 generated to more people in need. Our goal is to neurological, urological and pelvic health. billion. This represents 11.1 percent opera- revenue of $81 million since the closing continue to execute against our strategic Our category leadership strategy to deepen tional revenue growth4 and 7.3 percent of the BTG acquisition in August 2019. plan objectives, further increase our our portfolio in these areas is helping us organic revenue growth2 compared to This brings the full year pro-forma organic growth profile, and deliver create value for patients, physicians and 2018. Organic revenue growth was 8.8 pharmaceutical sales to $250 million. top-tier sales and adjusted earnings payers. And it’s enabling us to grow faster percent in MedSurg,5 3.3 percent in Rhythm per share growth over the next five than the markets in which we compete,6 0 and Neuro5 and 9.3 percent in Cardiovas- We also delivered a 60 basis-point years. We believe that the long-term and faster than most of our peers. By cular.5 Our global performance was strong, improvement in adjusted operating combination of consistent, above-market 2022, we expect that our investments in with all regions delivering above-market margin1 and increased full-year adjusted revenue growth, adjusted operating technology development and acquisitions growth.6 Total annual sales from Emerging earnings per share1 to $1.58, up 13 percent margin expansion, targeted double-digit will allow us to introduce solutions for Markets7 increased 19.5 percent on an over the prior year (normalized for the adjusted earnings per share growth, and unmet clinical needs in adjacent markets operational basis compared to 2018. 7 cent net tax benefit in 2018).3 We the improved ability to generate — and that accelerate our served market growth Outside of our three reportable segments, generated more than $2 billion of strategically deploy — a strong free rate to approximately 6 percent.6

2019 adjusted EPS growth: 14%1,3 85+ product launches EXALT™ Model D is the world's first and only single-use duodenoscope to be cleared by the FDA.

1 Adjusted operating margin, adjusted earnings per share and related growth rates are non-GAAP measures that exclude the impacts of certain charges (credits) which may include amortization expense, goodwill and intangible asset impairment charges, acquisition/divestiture-related net charges and credits, restructuring and restructuring-related net charges and credits, litigation-related net charges and credits, investment impairment charges, pension termination charges, EU MDR implementation charges, debt extinguishment net charges and credits, deferred tax expenses (benefits) and discrete tax items; see non-GAAP reconciliations on pages 65-67. 2 Organic revenue growth rates are non-GAAP measures that exclude the impact of foreign currency fluctuations and the first 12 months of sales from acquisitions in the periods for which there are no prior period related net sales. Organic revenue growth also excludes the impact of the divestiture of our global embolic microspheres portfolio, a transaction entered into in connection with obtaining the antitrust clearances required to complete the acquisition of BTG plc (BTG); see non-GAAP reconciliations on pages 65-67. 3 Full year 2018 adjusted earnings per share was $1.47, which includes a $0.07 net tax benefit for the year. Excluding this net tax benefit of $0.07, our 2018 adjusted earnings per share grew 11 percent. 2019 adjusted EPS growth including the aforementioned 2018 net tax benefit is 8 percent and normalized for the 2018 net tax benefit is 13 percent. Full year 2018 net tax benefit of $0.07 includes our second quarter $0.06 benefit from settling the IRS Stipulation of Settled Issues for the 2001 through 2010 tax years, offset by a fourth quarter $0.05 charge for our tax reinvestment strategy. In addition, the net benefit includes a $0.06 benefit in the fourth quarter for the settlement with the IRS of our 2011 through 2013 tax years. 4 Operational revenue growth rates are non-GAAP measures that exclude the impact of foreign currency fluctuations; see non-GAAP reconciliations on pages 65-67. 5 We have three reportable segments comprised of Medical Surgical (MedSurg), Rhythm and Neuro, and Cardiovascular, which represent an aggregation of our operating segments that generate revenues from the sale of medical devices (Medical Devices). We have included BTG’s Interventional Medicine business in our Peripheral Interventions operating segment’s 2019 revenues from the date of acquisition. 6 Based on internal estimates. 7 We define Emerging Markets as the 20 countries that we believe have strong growth potential based on their economic conditions, healthcare sectors and our global capabilities. Periodically, we assess our list of Emerging Markets; effective January 1, 2019, we updated our list of Emerging Market countries. We have revised prior year amounts to the current year’s presentation. The revision had an immaterial impact on prior year Emerging Markets sales. 8 As part of our acquisition of BTG, we acquired a specialty pharmaceuticals business (Specialty Pharmaceuticals). Subsequent to acquisition, Specialty Pharmaceuticals is now a stand-alone operating segment presented alongside our Medical Device reportable segments. 9 Adjusted free cash flow is a non-GAAP measure that excludes from free cash flow the cash component of certain charges (credits) that are also excluded from adjusted net income as well as any cash tax benefits of such charges, as detailed below. In addition, we exclude payments or refunds that relate to resolving tax disputes related to prior periods. Free cash flow is a non-GAAP measure that excludes net purchases of property, plant and equipment from cash provided by (used for) operating activities on a GAAP basis. The GAAP measure that is most directly comparable to adjusted free cash flow and free cash flow is cash provided by (used for) operating activities on a GAAP basis. See non-GAAP reconciliations on pages 65-67.

Letter from the company’s 2019 Annual Report, written before the COVID-19 global pandemic. Boston Scientific 2019 Performance Report 4 Feature Patient A Message to Financial Our Mission Boston Scientific Boston Scientific Corporate Social Our Patients Our People Our Planet Our Practices Non-GAAP Highlight Our Stockholders Highlights and Core Values at a Glance by the Numbers Responsibility Reconciliations

Innovative Technologies Solve Our Neuromodulation business launched System, the only device cleared by the “ In 2019, we invested more Urgent Challenges the Vercise™ Primary Cell (PC) and Vercise FDA to protect patients against the risk Over the course of 2019, we executed Gevia™ Deep Brain Stimulation (DBS) of stroke during transcatheter aortic heart than $1 billion in research more than 85 product launches and Systems with the Cartesia™ Directional valve replacement (TAVR), is now used and development to fuel received several significant regulatory Lead. The new systems treat the symptoms in an estimated 20 percent of all TAVR clearances, including in our Endoscopy, of Parkinson’s disease by delivering procedures in the United States. our pipeline; and nearly Neuromodulation and Interventional precisely targeted and personalized 5,000 patients participated Cardiology businesses. electrical stimulation in the brain and Acquisitions to Strengthen Our Future are designed to provide symptom relief In 2019, we made two strategic investments in more than 100 global Our Endoscopy business introduced the and better control of unwanted side to support our category leadership strategy clinical trials with Boston EXALT™ Model D, the world’s first and effects. We also received FDA approval and presence in faster growing markets. only single-use duodenoscope to be of ImageReady™ MRI labeling for the Scientific devices.” cleared by the U.S. Food and Drug Vercise Gevia DBS System, which allows We acquired BTG plc., adding therapeutic Administration (FDA). Duodenoscopes, the device to be used in a full-body technologies for patients with liver which are used during endoscopic magnetic resonance imaging (MRI) and kidney cancers to our interventional procedures to examine the pancreatic environment.10 oncology portfolio. The acquisition invasive device used to improve physical and bile ducts, treat severe, often also gives us a vascular portfolio for function and reduce pain in patients life-threatening, conditions. Scope The approval of the LOTUS Edge™ Aortic the treatment of deep vein thrombosis, with moderate lumbar spinal stenosis. cleaning and reprocessing are complex Valve System added to our suite of pulmonary embolism, deep venous This addition to our pain management procedures that are vulnerable to Structural Heart product solutions. These obstruction and superficial venous portfolio — now composed of the Spectra manual error. According to a study now include the SENTINEL™ Cerebral disease. We are now able to support WaveWriter™ Spinal Cord Stimulator mandated by the FDA, one in twenty Protection System and the WATCHMAN™ physicians who treat some of the most System, the Vertiflex® procedure and reusable duodenoscopes is contaminated Left Atrial Appendage Closure Device as challenging diseases with a strengthened radiofrequency ablation therapy — gives with disease-causing pathogens. The well as the ACURATE neo™ Aortic Valve commercial infrastructure and offer our physicians another non-opioid pain EXALT-D Duodenoscope was granted System.11 The LOTUS Edge valve system customers comprehensive technologies management solution that can help Breakthrough Device Designation by is the only fully repositionable valve backed by clinical evidence. improve quality of life for the growing the FDA, a program that helps patients system on the market; it is approved number of patients suffering from receive timely access to technologies for patients with severe aortic stenosis In Neuromodulation, we completed chronic pain. All of our evidence-based that have the potential to more who are considered at high risk for surgical the acquisition of Vertiflex, Inc., which solutions are helping clinicians provide effectively diagnose or treat life- valve replacement through open heart developed the Superion® Indirect personalized treatments along the pain threatening or irreversibly debilitating surgery. The SENTINEL™ Cerebral Protection Decompression System, a minimally care continuum. diseases or conditions.

LOTUS Edge™ is the only fully repositionable valve system on the market. SENTINEL™ Cerebral Protection System is used in 20% of all U.S. TAVR procedures.

10 1.5 Tesla MRI conditional when all conditions of use are met. 11 ACURATE neo™ Aortic Valve System is CE Marked. In the U.S., IDE device and not available for sale. Letter from the company’s 2019 Annual Report, written before the COVID-19 global pandemic. Boston Scientific 2019 Performance Report 5 Feature Patient A Message to Financial Our Mission Boston Scientific Boston Scientific Corporate Social Our Patients Our People Our Planet Our Practices Non-GAAP Highlight Our Stockholders Highlights and Core Values at a Glance by the Numbers Responsibility Reconciliations

Expanding Our Footprint Through Medical Education Collaborating to Advance Science We also maintained a strong base of Across our businesses, we invested clinical research to support the safety and more than $1 billion in research and efficacy of our devices, with data gathered development in 2019 to fuel our pipeline through bench testing, randomized and create value for our customers and controlled trials, and ongoing real-world the patients whom we serve together. evidence to support sustaining innovation as well as new product approvals. In 2019, North America Europe Maple Grove, USA nearly 5,000 patients participated in more Paris, France Asia To accelerate the pace of discoveries St. Paul, USA Ratingen, Germany Beijing, China than 100 global clinical trials with Boston Valencia, USA and bring new treatments to patients, Milan, Italy Chengdu, China Scientific devices. Warsaw, Poland Shanghai, China collaboration is key. At our global design Madrid, Spain Gurgaon, India centers in the United States, Costa Rica, Miyazaki, Japan Tokyo, Japan Ireland, India, China, Puerto Rico and the Trial highlights include:

Africa United Kingdom, we take a collaborative The RANGER II SFA trial and the IMPERIAL Johannesburg, trials strengthen the growing body of South Africa approach to research and development. Clinicians, researchers and industry evidence supporting the safety, efficacy Boston Scientific provides local training programs through our 15 Institutes for Advancing work side by side, evaluating ideas, and durability of our Ranger™ Drug- Science in the Americas, Africa, Asia and Europe. developing prototypes, and conducting Coated Balloon (DCB) and Eluvia™ feasibility studies. Drug-Eluting Vascular Stent (DES) for patients with peripheral artery disease. “At our global design centers in the United States, Costa Rica, In 2019, Mayo Clinic and Boston Scientific Ireland, India, China, Puerto Rico and the United Kingdom, announced Motion Medical, a new joint innovation accelerator that aims to we take a collaborative approach to research and development. accelerate the development of minimally Clinicians, researchers and industry work side by side, invasive technologies for interventional cardiology, heart rhythm management, evaluating ideas, developing prototypes, and conducting endoscopy, neuromodulation and urology. feasibility studies.” In doing so, our organizations will now share certain intellectual property and work together to rapidly develop medical devices to address unmet clinical needs.

$1+ billion invested in research and development The EMBLEM™ S-ICD System has been implanted in nearly 75,000 patients worldwide.

Letter from the company’s 2019 Annual Report, written before the COVID-19 global pandemic.

Boston Scientific 2019 Performance Report 6 Feature Patient A Message to Financial Our Mission Boston Scientific Boston Scientific Corporate Social Our Patients Our People Our Planet Our Practices Non-GAAP Highlight Our Stockholders Highlights and Core Values at a Glance by the Numbers Responsibility Reconciliations

The EVOLVE Short DAPT (dual antiplatelet The UNTOUCHED study confirmed the "As we move into the next decade, we face challenges therapy) study with our SYNERGY™ Bio- value of our EMBLEM™ S-ICD System for absorbable Polymer Stent demonstrated a broad group of ICD-indicated patients, from the growing burden of chronic conditions among an a low rate of adverse events for patients enabling them to avoid the long-term aging population, the demands of value-based care and at a high risk for bleeding who stop DAPT complications associated with trans- at three months. The study evaluated venous ICD leads. The study evaluated new, disruptive competitors. These trends also represent abbreviated antiplatelet therapy for the safety and efficacy of the EMBLEM™ opportunities, and I am energized and inspired by the patients at high risk for bleeding after S-ICD System, a device that has undergoing percutaneous coronary been implanted in nearly 75,000 significant advancements we have made and will continue intervention. The results expand the body patients worldwide. to make, and by the lives that have been extended or of evidence supporting the excellent clinical outcomes of our SYNERGY BP The AF-FICIENT I study showed positive enhanced because of our products." Stent. We plan to submit these data to safety and efficacy data for the regulatory authorities to support an LUMINIZE™ RF Balloon Catheter, our indication for use in patients who single-shot ablation technology for The VIRTUS trial with 12-month Medical education is also a vital component are at a high risk of experiencing a the isolation of pulmonary veins (PV) data demonstrated that patients of safe procedure adoption and our bleeding event. when treating patients with atrial treated with the VICI VENOUS STENT® collaboration with physicians. We continue fibrillation (AF). System for iliac and femoral vein to provide local training programs through The OPTION trial has the potential to obstructions exhibit a high rate of our 15 Institutes for Advancing Science in expand the number of patients with A randomized clinical trial with our open target lesions. the Americas, Africa, Asia and Europe. We atrial fibrillation who can receive a left Rezūm™ Water Vapor Therapy, a recently completed the center in Chengdu, atrial appendage closure (LAAC) as an minimally invasive treatment for benign China that will expand our footprint and alternative to lifelong anticoagulants — prostatic hyperplasia (BPH), demonstrated enable us to train thousands of doctors and their potential side effects. The trial that four years after treatment, the device in Central and Western China. compares the safety and effectiveness provides durable results and preserves of the next-generation WATCHMAN FLX™ sexual function. More than 35,000 men left atrial appendage closure platform have been successfully treated with the to first-line oral anticoagulants for Rezūm System. And we have worked stroke risk reduction in patients with with major insurance providers to extend non-valvular atrial fibrillation (AF) who coverage of the procedure, providing undergo a cardiac ablation procedure. even more men with access to this transformative technology.

35,000+ men with BPH have been successfully treated with the Rezūm™ System 15 Institutes for Advancing Science worldwide

Letter from the company’s 2019 Annual Report, written before the COVID-19 global pandemic.

Boston Scientific 2019 Performance Report 7 Feature Patient A Message to Financial Our Mission Boston Scientific Boston Scientific Corporate Social Our Patients Our People Our Planet Our Practices Non-GAAP Highlight Our Stockholders Highlights and Core Values at a Glance by the Numbers Responsibility Reconciliations

“Delivering high performance requires excellence across we reduced our greenhouse gas Looking Ahead emissions 47 percent and decreased Our team and technology pipeline our operations, and we are a stronger and more innovative water consumption 30 percent relative have never been stronger, and I remain company when we cultivate a diverse and inclusive to our 2009 measurement baseline. Our confident in our strategy and ability to Heredia and Coyol, Costa Rica sites are address evolving customer needs in workplace that reflects the patients, customers and already carbon-neutral, and we are on the markets in which we compete. We communities we serve.” track with our longer-term goals of reaching anticipate continued growth across 100 percent renewable energy usage by most of our businesses and regions 2024 and being carbon neutral in all our based on the strength and diversity manufacturing and key distribution sites of our portfolio and our talented and People and Citizenship Fostering diversity and inclusion in the by 2030. During the past two years, we engaged employees. Delivering high performance requires workplace requires a deliberate and increased the number of patients we excellence across our operations, and consistent effort as well as a willingness serve by 20 percent while at the same On behalf of all of us at Boston Scientific, we are a stronger and more innovative to engage in difficult conversations and time reducing our carbon footprint by I want to thank our Board of Directors company when we cultivate a diverse learn from them. Our Global Council for 11 percent at these sites. for their service. I also thank you, our and inclusive workplace that reflects the Inclusion and more than 4,500 employees stockholders, for your continued support, patients, customers and communities we from nine Employee Resource Groups I’m proud of the progress we are making. and our employees for their unwavering serve. In 2019, we made strong progress are at the heart of this work. They provide Our employees have made Boston commitment to our mission and values. toward our diversity and inclusion goals forums for us to learn from one another, Scientific an admired company with I look forward to working together to to increase the representation of women celebrate our diversity and develop numerous recognitions, including being make even greater contributions to and multicultural talent12 in mid-manage- inclusive leadership skills. named among FORBES/JUST Capital 100 advance science for life in the year ment roles. By 2023, our goal is to increase Most JUST Companies, Newsweek’s and decade ahead. representation of these groups by three Working in health care gives us the America’s Most Responsible Companies, percentage points. Pay equity has also long privilege to help advance science and FORTUNE World’s Most Admired Sincerely, been a focus. An independent analysis13 improve patient outcomes. That privilege Companies, Glassdoor’s Employees’ of employee pay equity showed that comes with a responsibility to work in Choice for Best Places to Work and a our global workforce had a less than a sustainable way that enriches our Derwent Top 100 Global Innovator. 1 percent statistical difference in pay communities. We’ve set aggressive Mike Mahoney along gender lines. environmental goals to do our part. In Chairman, President and 2019, we continued our push toward Chief Executive Officer environmental impact. By year end, March 10, 2020

During the past two years, we increased the number of patients we serve by 20% while at the same time reducing our carbon footprint by 11%.

12 In the U.S. and Puerto Rico, defined as African American/Black, Asian, Hispanic/Latino, American Indian/Alaska Native, Native Hawaiian/Other Pacific Islander, and two or more races. Excludes any U.S. Puerto Rico employees where the ethnicity is “Unallocated.” 13 Independent pay equity analysis conducted by Resolution Economics, LLC. Letter from the company’s 2019 Annual Report, written before the COVID-19 global pandemic. Boston Scientific 2019 Performance Report 8 Feature Patient A Message to Financial Our Mission Boston Scientific Boston Scientific Corporate Social Our Patients Our People Our Planet Our Practices Non-GAAP Highlight Our Stockholders Highlights and Core Values at a Glance by the Numbers Responsibility Reconciliations

Financial Highlights

Percent of 1 Adjusted operating margin, adjusted earnings per share and related growth rates are non-GAAP measures that exclude the impacts of certain Reported Operational Consolidated charges (credits) which may include amortization expense, goodwill 2019 Sales by Region (dollars in millions) Sales Growth4 Net Sales (%) and intangible asset impairment charges, acquisition/divestiture- related net charges and credits, restructuring and restructuring-related U.S. $ 6,097 10.1% 56.8% net charges and credits, litigation-related net charges and credits, EMEA (Europe, Middle East and Africa) 2,264 9.4% 21.1% investment impairment charges, pension termination charges, EU MDR implementation charges, debt extinguishment net charges and credits, APAC (Asia-Pacific) 1,898 12.3% 17.7% deferred tax expenses (benefits) and discrete tax items; see non-GAAP LACA (Latin America and Canada) 395 7.3% 3.7% reconciliations on pages 65-67. Medical Devices5 10,654 10.2% 99.2% 2 Organic revenue growth rates are non-GAAP measures that exclude the impact of foreign currency fluctuations and the first 12 months of Specialty Pharmaceuticals8 81 n/a 0.8% sales from acquisitions in the periods for which there are no prior period related net sales. Organic revenue growth also excludes the impact of the divestiture of our global embolic microspheres portfolio, Net Sales $10,735 11.1% 100.0% a transaction entered into in connection with obtaining the antitrust clearances required to complete the acquisition of BTG plc (BTG); see non-GAAP reconciliations on pages 65-67. Percent of Reported Operational Consolidated 3 Full year 2018 adjusted earnings per share was $1.47, which includes a $0.07 net tax benefit for the year. Excluding this net tax benefit of 2019 Sales by Product Category (dollars in millions) Sales Growth4 Net Sales (%) $0.07, our 2018 adjusted earnings per share grew 11 percent. 2019 Endoscopy $ 1,894 9.2% 17.6% adjusted EPS growth including the aforementioned 2018 net tax benefit MedSurg is 8 percent and normalized for the 2018 net tax benefit is 13 percent. Urology and Pelvic Health 1,413 14.7% 13.2% Full year 2018 net tax benefit of $0.07 includes our second quarter $0.06 benefit from settling the IRS Stipulation of Settled Issues for the 2001 Rhythm and Neuro Cardiac Rhythm Management 1,939 1.2% 18.1% through 2010 tax years, offset by a fourth quarter $0.05 charge for our Electrophysiology 329 7.5% 3.1% tax reinvestment strategy. In addition, the net benefit includes a $0.06 benefit in the fourth quarter for the settlement with the IRS of our 2011 Neuromodulation 873 13.1% 8.1% through 2013 tax years.

Cardiovascular Interventional Cardiology 2,816 11.0% 26.2% 4 Operational revenue growth rates are non-GAAP measures that Peripheral Interventions 1,392 19.1% 13.0% exclude the impact of foreign currency fluctuations; see non-GAAP reconciliations on pages 65-67. Medical Devices5 10,654 10.2% 99.2% 5 We have three reportable segments comprised of Medical Surgical Specialty Pharmaceuticals8 81 n/a 0.8% (MedSurg), Rhythm and Neuro, and Cardiovascular, which represent an 10 12 10 15 20 25 20

0 2 4 6 8 0 5 0 aggregation of our operating segments that generate revenues from the sale of medical devices (Medical Devices). We have included BTG’s Net Sales $10,735 11.1% 100.0% Interventional Medicine business in our Peripheral Interventions operating segment’s 2019 revenues from the date of acquisition. 2,4 1 1,3 Operational Revenue Growth Adjusted Operating Margin Adjusted Earnings Per Share Growth 8 As part of our acquisition of BTG, we acquired a specialty pharmaceuticals business (Specialty Pharmaceuticals). Subsequent to acquisition, 2019 7% 11% 2019 26.1% 2019 8% 13% Specialty Pharmaceuticals is now a stand-alone operating segment presented alongside our Medical Device reportable segments. 2018 7% 8% 2018 25.5% 2018 17% 11% Percentages are calculated using unrounded numbers and may not 2017 7% 8% 2017 25% 2017 13% calculate precisely due to rounding. Amounts may not add due to rounding. Operational revenue growth Adjusted earnings per share growth1 Organic revenue growth Adjusted earnings per share growth, excluding 2018 net tax benefit3

Boston Scientific 2019 Performance Report 9 Feature Patient A Message to Financial Our Mission Boston Scientific Boston Scientific Corporate Social Our Patients Our People Our Planet Our Practices Non-GAAP Highlight Our Stockholders Highlights and Core Values at a Glance by the Numbers Responsibility Reconciliations

Our work is guided by core values that define Boston Scientific culture and empower our employees: Caring We act with integrity and compassion to support patients, customers, our communities and each other.

Diversity We embrace diversity and value unique talents, ideas and experiences of our employees.

Global Collaboration We work collaboratively to pursue global opportunities that extend the reach of our medical solutions.

High Performance We strive for high performance to benefit our patients, clinicians and stockholders.

Meaningful Innovation We foster an environment of creativity to Every day, Boston Scientific is... transform new ideas into breakthrough services and solutions that create value for patients, customers and employees. focusing on our mission. Winning Spirit We adapt to change and act with speed, We are dedicated to transforming lives through innovative medical agility and accountability to further improve patient care. solutions that improve the health of patients around the world.

Boston Scientific 2019 Performance Report 10 Feature Patient A Message to Financial Our Mission and Boston Scientific Boston Scientific Corporate Social Our Patients Our People Our Planet Our Practices Non-GAAP Highlight Our Stockholders Highlights Core Values at a Glance by the Numbers Responsibility Reconciliations

Boston Scientific at a Glance Boston Scientific transforms lives through innovative medical solutions that improve the health of patients around the world. As a global medical technology leader for nearly 40 years, we advance science for life by providing a broad range of high performance solutions that address unmet patient needs and reduce the cost of health care.

Neuromodulation: Electronic implantable technologies that help patients manage debilitating chronic pain and neurological conditions

Cardiac Rhythm Management: Technologies that treat irregular heart rhythms and heart failure and help protect against sudden cardiac arrest

Electrophysiology: A broad range of mapping and treatment technologies for diagnosing and treating heart rhythm disorders

Interventional Cardiology: Minimally invasive innovations that help improve the lives of patients living with heart and vascular conditions

Endoscopy: Minimally invasive devices for diagnosing and treating gastrointestinal and pulmonary conditions

Peripheral Interventions: Devices for diagnosis and minimally invasive treatments of peripheral vascular disease and cancer

Urology and Pelvic Health: Solutions for urological, urogynecological and gynecological diseases

As part of our acquisition of BTG, we acquired the Specialty Pharmaceuticals business, which is a stand-alone operating segment.

Boston Scientific 2019 Performance Report 11 Feature Patient A Message to Financial Our Mission Boston Scientific Boston Scientific Corporate Social Our Patients Our People Our Planet Our Practices Non-GAAP Highlight Our Stockholders Highlights and Core Values at a Glance by the Numbers Responsibility Reconciliations

Boston Scientific by the Numbers* Recycled $10.7 billion 8,900+ in full-year sales tonnes of solid waste $85 million+ Top ~30 million educational and charitable patients served

giving and medical research 30 America’s Most JUST Companies** % Reduced greenhouse 41,000+ 99 + gas emissions by employee gender pay volunteer hours equity 76,000+ tonnes*** ~36,000 ~ $ Carbon neutrality 1 billion in manufacturing and employees in invested in research key distribution sites 100+ countries and development for all products by 2030

* All figures reflect 2019 results. ** Forbes and JUST Capital JUST 100 rankings *** Compared to 2009 baseline

Boston Scientific 2019 Performance Report 12 Feature Patient A Message to Financial Our Mission Boston Scientific Boston Scientific Corporate Social Our Patients Our People Our Planet Our Practices Non-GAAP Highlight Our Stockholders Highlights and Core Values at a Glance by the Numbers Responsibility Reconciliations

Boston Scientific Corporate Social Responsibility at Boston Scientific employees participating in Volunteer Day in At Boston Scientific, we are united by a collaborations and other business Minnesota. deep caring for human life. Our work relationships, we work with organizations in health care comes with a profound who share our commitment to the responsibility to the people around us. people we serve. Guided by our core values, we are committed to shaping a better future Our Approach for patients, customers, employees as To ensure our efforts are aligned with the well as the communities in which we United Nations Sustainable Development live and work. Our teams are dedicated Goals (SDGs), in 2017 we completed a to transforming lives through innovative baseline materiality assessment in accor- medical solutions that improve the health dance with the internationally accredited of patients around the globe — while Global Reporting Initiative (GRI) guidelines. also making measurable contributions The assessment identified CSR issues of to the world we all share. greatest importance to Boston Scientific and our stakeholders. We define these Engaging with Stakeholders issues as material aspects. In keeping with our values, we act with integrity in our operational processes Our material aspects align with 10 of the and all of our business relationships. 17 SDGs where we believe we can make Throughout the company, we are focused a meaningful difference. Our teams track on our obligations as a corporate citizen. how our activities intersect with the SDGs These responsibilities include continually and how we can most effectively join with working to better understand and others to contribute to these goals. In 2019, anticipate the company’s environmental, we increased the scope of our CSR metrics social and economic impacts. and disclosures, and we made it a priority to report at the GRI Comprehensive level A company-wide focus on Corporate by 2024, if not sooner. Social Responsibility (CSR) is an essential aspect of our citizenship. Our CSR strategy and practices are informed by conversations with diverse stakeholders inside and outside the company — locally, nationally and globally. In our

Boston Scientific 2019 Performance Report 13 Feature Patient A Message to Financial Our Mission Boston Scientific Boston Scientific Corporate Social Our Patients Our People Our Planet Our Practices Non-GAAP Highlight Our Stockholders Highlights and Core Values at a Glance by the Numbers Responsibility Reconciliations

Boston Scientific Supports the SDGs

As a global medical device manufacturer, our work is naturally focused Our planet is facing significant challenges, and Boston Scientific is committed on health and well-being. In 2019, our portfolio of innovative products and to identifying and mitigating risks to the climate and environment. To do this, solutions helped more than 30 million patients live better and longer lives. and contribute to SDGs 7 and 13, we have established aggressive targets, We continue to make investments in research and development and such as our goal to be carbon neutral by 2030 at all key manufacturing clinical trials to develop new technologies and breakthrough therapies. and distribution sites. We are also focused on moving to renewable energy Our patient-centric focus supports expanded access to medical care for sources and reducing our environmental impact. We monitor our progress underserved populations around the world. We invest significantly in the through an established energy management system. well-being of our employees and their families, and we support the communities where we work and live.

SDG 5 and SDG 10 relate directly to our core diversity value, which we The Boston Scientific caring value guides how we engage with patients, define as inclusion, equity and opportunity for all. By embracing unique work together as colleagues and invest in the well-being of our backgrounds and perspectives, we create a more rewarding place to work. communities. Our EDUCARE program offers a variety of training programs Our Diversity and Inclusion (D&I) efforts focus on four strategic pillars: to help healthcare providers deliver the best patient care possible. We career, culture, commerce and community. In 2019, we made strong also support future diverse talent with education and STEM programming progress in achieving our “10/20/40 by 2020” objectives aimed at reshaping for K-12 students around the world. The company invests in training and the company’s core mid-level employee base, and we continue to set continuing education for our employees and ensures a positive work higher goals. We are an equal opportunity employer, committed to environment through global environmental health and safety policies. delivering fair and equitable compensation and benefits programs. With Our facilities reflect the priority we place on agile workspaces that offer our Close the Gap program, we are helping to address health inequities, flexibility. increasing diverse patient enrollment in clinical trials and elevating the role of female physicians in health care.

To ensure we design, test, manufacture and distribute safe and effective We are committed to SDG 16 and doing business with integrity and honesty. devices, quality is integrated into every aspect and stage of our work. We Our teams responsibly research, develop, manufacture and deliver our support initiatives to reduce waste through sustainable packaging, recycling, products with a commitment to strong corporate governance, impeccable reuse and inventory management. We also maintain strategic partnerships, ethics and regulatory compliance. The Boston Scientific Code of Conduct is many with small and diverse suppliers. These partnerships help us deliver the foundation for our policies and must be read, understood and followed improved value to our customers, and they support economic development by every employee. Our policies and practices reflect our belief in and and sustainable production in the communities where we live and work. support for all fundamental human rights.

Boston Scientific 2019 Performance Report 14 Feature Patient A Message to Financial Our Mission Boston Scientific Boston Scientific Corporate Social Our Patients Our People Our Planet Our Practices Non-GAAP Highlight Our Stockholders Highlights and Core Values at a Glance by the Numbers Responsibility Reconciliations

Owning and Managing CSR Our CSR Performance Our people in more than 100 countries We hold ourselves accountable for work with an awareness of the world’s providing updates and data related to most pressing challenges, including our CSR performance, and we share inequality, economic disparity, climate this information through several change and environmental protection. communications channels, including this Their efforts to help address these issues report and www.bostonscientific.com. are supported by our cross-functional Each year, we report the company’s CSR Council, Environmental Health and impact on the environment as defined Safety (EH&S) policies and programs and by the Carbon Disclosure Project, and a Global Council for Inclusion, along with we participate in several widely local, regional and national employee recognized environmental, social and community programs. and governance rating surveys.

The CSR Council includes subject matter This report has been prepared in experts throughout the company who accordance with the GRI guidelines. help define CSR strategy and ensure Unless otherwise indicated, data in accountability. An executive steering this report covers the period between committee oversees the Council and January 1, 2019, and December 31, 2019. Mike Mahoney, Chairman and CEO, attending an event at the Berkshire Partners Blue Hill champions sustainable practices across Boys & Girls Club, where Boston Scientific teamed up with the Boston Celtics to renovate the business. Within this framework, a pre-teen room. everyone in the company contributes to our social responsibility.

Company Leadership and Corporate Social Responsibility Guided by our core values, we are committed to shaping a The JUST 100: Forbes and JUST Capital ranked Boston Scientific in the top 30 of America's better future for patients, customers, employees as well as Most JUST Companies. the communities in which we live and work. Our teams are America's Most Responsible Companies: Newsweek and Statista ranked Boston Scientific dedicated to transforming lives through innovative medical #48 in its first ranking of the most responsible companies in America. solutions that improve the health of patients around the World's Most Admired Companies: Boston Scientific was again named a FORTUNE World's Most Admired company, ranking #2 in the Medical Products and Equipment globe — while also making measurable contributions to the industry category. world we all share.

Boston Scientific 2019 Performance Report 15 Feature Patient A Message to Financial Our Mission Boston Scientific Boston Scientific Corporate Social Our Patients Our People Our Planet Our Practices Non-GAAP Highlight Our Stockholders Highlights and Core Values at a Glance by the Numbers Responsibility Reconciliations

Our Patients

17 Our Patients

21 Promoting Health Equity with Close the Gap

Every day, Boston Scientific is... The patient featured on the cover, German pole vaulter Katharina Bauer, strikes a yoga pose atop Lion's Head, a mountain transforming the lives of our patients. overlooking Cape Town, South Africa.

Boston Scientific 2019 Performance Report 16 Feature Patient A Message to Financial Our Mission Boston Scientific Boston Scientific Corporate Social Our Patients Our People Our Planet Our Practices Non-GAAP Highlight Our Stockholders Highlights and Core Values at a Glance by the Numbers Responsibility Reconciliations

Our Patients

We are proud that in “ Living with fear 2019 our devices and therapies helped more is difficult… than 30 million patients Now I can live live longer and better lives. Their stories inspire without fear us to do more. As we of not having a focus on solving the healthcare challenges future thanks that matter most, we to Boston are also expanding our efforts to increase Scientific.” healthcare access and help educate people on disease prevention. Valentina Arango (Bogota, Colombia) For months, Valentina was feeling ill and the cause could not be determined. Eventually, doctors discovered that she potentially had cancerous liver fibrosis and stones in her intrahepatic duct, which drains bile from the liver. Her doctors used SpyGlass™ DS Direct “ I haven’t felt anything in my heart since that valve went Visualization System in a procedure to destroy the in there, other than my body works better. It’s like getting stones and collect a biopsy a new lease on life.” to test for cancer — which was negative. Valentina returned to her studies and Allen Brady (Pensacola, Florida, U.S.) When her husband, Allen, couldn’t finish a round of golf anymore, Dianne Brady knew that something was wrong. normal life, feeling healthy The 90-year-old decorated war veteran had no plans to slow down but and free of worry. was regularly getting out of breath. Allen later learned from his cardiologist that he was experiencing aortic stenosis and needed a valve change. He received the LOTUS Edge™ Aortic Valve System and was able to return to playing golf and enjoying time with Dianne.

Boston Scientific 2019 Performance Report 17 Feature Patient A Message to Financial Our Mission Boston Scientific Boston Scientific Corporate Social Our Patients Our People Our Planet Our Practices Non-GAAP Highlight Our Stockholders Highlights and Core Values at a Glance by the Numbers Responsibility Reconciliations

HeartLogic™ Heart Failure Diagnostic

The HeartLogic™ Heart Failure Diagnostic is the first and only heart failure diagnostic tool proven to detect 70 percent of heart failure events several weeks in advance, potentially reducing further hospitalization for patients with heart failure. This diagnostic Gregory Gaddy (Memphis, tool is featured in “SCS has given Tennessee, U.S.) After falling the Boston Scientific me my life back from a ladder while working in Resonate™ family of his yard, Gregory was left with cardiac resynchronization and I'm able chronic pain from his injuries. therapy defibrillator to do things After more than 10 years “ Because of the stent, I can continue to do all of the things (CRT-D) and implantable of struggling with pain cardioverter defibrillator that I love.” management, he chose to I want to do and accomplish dreams that I didn’t think I (ICD) devices. have a Boston Scientific spinal would be able to before.” cord device implanted. The SCS greatly reduced Gregory's pain and allowed him to return to tending his garden and achieving Kathryn Grosshans (Yorktown, Virginia, U.S.) In her early teenage years, Kathryn’s his goal of winning "Yard of the Month" in his community. occasional leg pain was attributed to her heavy figure skating training schedule. But by the time she was a senior in high school, Kathryn’s pain was so debilitating that she could barely walk. A vascular specialist diagnosed her with May-Thurner syndrome and recommended that she receive a stent to relieve a compressed vein. Kathryn was implanted with the VICI Venous Stent™ System in a same-day Symbols representing outpatient procedure and immediately experienced a sensors from the difference. A year later, she decided to train for her Heartlogic heart failure first marathon, which she completed free of pain. diagnostic tool.

Boston Scientific 2019 Performance Report 18 Feature Patient A Message to Financial Our Mission Boston Scientific Boston Scientific Corporate Social Our Patients Our People Our Planet Our Practices Non-GAAP Highlight Our Stockholders Highlights and Core Values at a Glance by the Numbers Responsibility Reconciliations

Marjorie Giovannoni (Coupeville, Washington, U.S.) After a hemorrhagic stroke, Marjorie was paralyzed on her entire right side. As time went on, she faced a difficult choice: go back on blood thinners to address her high risk of stroke or avoid them, because her condition made falls and bleeding more likely. Marjorie elected to be implanted with a WATCHMAN™ Left Atrial Appendage Closure (LAAC) Device as an alternative, which has given her peace of mind.

Eluvia™ Drug-Eluting Vascular Stent System

The Eluvia™ Drug-Eluting Vascular Stent System is a controlled drug delivery system designed and engineered to solve the unique challenge “ Tom and I are both very excited to get our lives back.” of restenosis in the superficial femoral Lisa Griener (Pittsburgh, Pennsylvania, U.S.) Meeting her husband, Tom, artery (SFA), the main was an exciting new chapter in life — but 10 months after their artery leading to the wedding, Lisa was diagnosed with Parkinson’s disease. To manage lower limbs. her Parkinson’s, Lisa took up to 13 pills a day, but her movements were so uncontrollable that it was difficult for her to work or socialize. After receiving the Boston Scientific Vercise™ DBS System, “It is the best feeling to know the Lisa’s tremors have minimized and she has regained control of WATCHMAN is in there and going to her movements — allowing her to reduce her medications. Most importantly, Lisa and Tom are enjoying their life together again and watch over me.” focusing on the years ahead.

Boston Scientific 2019 Performance Report 19 Feature Patient A Message to Financial Our Mission Boston Scientific Boston Scientific Corporate Social Our Patients Our People Our Planet Our Practices Non-GAAP Highlight Our Stockholders Highlights and Core Values at a Glance by the Numbers Responsibility Reconciliations

Alex Lamb (Smalley, Derbyshire, England) Not your typical EXALT™ Model D 81-year-old, Alex has a regular regimen of karate, yoga and Duodenoscope 5-kilometer daily runs. When he was diagnosed with advanced In December 2019, the prostate cancer, his doctor recommended radiation therapy, EXALT™ Model D, the which is associated with unpleasant side effects such as world’s first and only rectal pain and diarrhea. Alex’s doctors used our SpaceOAR™ single-use duodenoscope, Hydrogel, which protects organs such as the rectum from was cleared by the U.S. radiation exposure during treatment and minimizes FDA, eliminating the side effects. The treatment was successful, need for reprocessing and his Prostate-Specific Antigen and repairs. The EXALT (PSA) levels are now undetectable. Model D supports Alex was running two days after physicians in their mission his procedure and has to deliver the highest now resumed his full quality patient care workout routine. because they can now use a new, sterile device for every procedure. “ It was vitally important for me to get running “ I have a second chance at life — to get married and start a again because family and move on.”

that really Nicole Leon (Chicago, Illinois, U.S.) At 32, Nicole was diagnosed with a hepatocellular liver is my whole tumor. She was told that her tumor was inoperable and that she had six months to live. A multi-disciplinary team at the University of Chicago Medicine’s Liver life.” Tumor Program used the TheraSphere™ Y-90 Glass Microspheres to deliver a treatment called radiation embolization, which reduced the size of the tumor so it could be surgically removed. Today, Nicole has nearly 100 percent of her liver volume back and normal liver function. Nicole is now three years cancer-free, married and has a healthy baby boy whom she named after one of the doctors who helped save her life.

Boston Scientific 2019 Performance Report 20 Feature Patient A Message to Financial Our Mission Boston Scientific Boston Scientific Corporate Social Our Patients Our People Our Planet Our Practices Non-GAAP Highlight Our Stockholders Highlights and Core Values at a Glance by the Numbers Responsibility Reconciliations

Promoting Health Equity with Close the Gap

For more than a decade, the Boston Scientific Close the Gap health equity program has focused on eliminating care disparities and improving access to health services for underserved patient populations. The company collaborates with healthcare providers, national patient advocacy groups and minority associations to advocate for broader representation of minorities in clinical trials and to support their access to quality care. We also partner with like-minded organizations to reach underserved patient populations with culturally relevant education and resources delivered through events and community programs.

In 2019, new data from the PLATINUM Diversity trial, one of the first clinical studies of its kind to identify the disparities experienced by women and minorities undergoing coronary stenting procedures as compared to white males, demonstrated that minority patients are more likely to stop their Massachusetts Conference for Women: Personal Brand, Heart Health and Exercise dual anti-platelet therapy after a For the fifth consecutive year, Boston Scientific co-sponsored the annual Massachusetts coronary stenting procedure (when Conference for Women in Boston, a program drawing more than 13,000 attendees. compared to white males), putting Approximately 240 employees attended, and Boston Scientific women leaders served them at higher risk for potential adverse as panelists as well as guest speakers. The Close the Gap team collaborated with Boston Scientific employees participating events. These findings can serve as a WomenHeart, a patient advocacy group focused on heart disease in women, to engage in a Spirit of the Heart event in Georgia, U.S. basis for action for healthcare providers conference participants in a dialogue about heart health and to experience on-site and is leading investigators to look wellness activities, including mini-strength and stretching sessions. further into why this is happening.

57,000 people reached through 57 events held by Close the Gap $750,000 grants awarded to 180 Congressional Black and Close the Gap awareness events. in communities across the U.S. organizations working to increase Hispanic Caucus members educated enrollment of underserved on inequities in health care and the populations in clinical trials. impact of peripheral artery disease on African American men.

Boston Scientific 2019 Performance Report 21 Feature Patient A Message to Financial Our Mission Boston Scientific Boston Scientific Corporate Social Our Patients Our People Our Planet Our Practices Non-GAAP Highlight Our Stockholders Highlights and Core Values at a Glance by the Numbers Responsibility Reconciliations

Our People

23 The People of Boston Scientific

24 Making Diversity and Inclusion a Priority

24 Leadership Commitment

26 Diversity and Inclusion Goals

29 Employee Resource Groups

32 Listening to Our People

33 Setting the Bar Higher

34 e Employe Growth and Development

36 Compensation and Benefits

40 Caring for Our Communities

Every day, Boston Scientific is... achieving success through our people.

Boston Scientific 2019 Performance Report 22 Feature Patient A Message to Financial Our Mission Boston Scientific Boston Scientific Corporate Social Our Patients Our People Our Planet Our Practices Non-GAAP Highlight Our Stockholders Highlights and Core Values at a Glance by the Numbers Responsibility Reconciliations

Our People

By pushing the boundaries of what is The people of Boston Scientific are The People of Boston Scientific possible, our approximately 36,000 defined by: In the last three years, we have made employees across the globe collaborate Global impact: Our employees make a steady progress to increase the overall every day to change and save lives. As we difference for people around the world representation of women and multicultural1 develop innovative solutions to address and around the corner. talent, with an emphasis on supervisor unmet needs of patients, physicians and and manager roles. healthcare systems, their collective talent Diversity: We are proud of the diversity and shared sense of purpose give us our of thought, background and perspective competitive edge. that leads to our greatest breakthroughs. Representation at All Levels Winning spirit: Our people take on the Women (Global) Innovation thrives in a culture of engage- industry’s toughest challenges and ment and inclusion. People deserve to 47.0% never settle for the status quo. 46.5% work in an environment where they can 45.5% make significant contributions to the Growth: We make learning, business while also pursuing their development and progression a individual goals. Our talent management priority. Talented and dedicated “ We do our best work to practices support a workplace where employees deserve opportunities 2017 2018 2019 advance health care when people can create, explore and problem to grow. solve — and trust they will be recognized we have a richness of Engagement: In our collaborative Multicultural (U.S./Puerto Rico) for their performance. work environment, people build 33.2% lasting relationships with colleagues perspectives and experience 31.7% on our teams and when worldwide and advance our thought 30.7% leadership in the industry. we can bring our whole Opportunity: We offer diverse and selves to work.” global career options, including 2017 2018 2019 international assignments and — Wendy Carruthers, Senior Vice President, programs. Boston Scientific Human Resources

1 In the United States and Puerto Rico, defined as African American/Black, Asian, Hispanic/Latino, American Indian/Alaska Native, Native Hawaiian/Other Pacific Islander, and two or more races. Excludes any U.S. Puerto Rico employees where the ethnicity is “Unallocated.” Boston Scientific 2019 Performance Report 23 Feature Patient A Message to Financial Our Mission Boston Scientific Boston Scientific Corporate Social Our Patients Our People Our Planet Our Practices Non-GAAP Highlight Our Stockholders Highlights and Core Values at a Glance by the Numbers Responsibility Reconciliations

D&I efforts throughout Boston Scientific align with four strategic pillars: Consistent with our pledge commitments, CEO Action for Diversity and Inclusion we held a second annual Day of Under- CAREER CULTURE standing to help employees embrace Boston Scientific was among the Attract, develop, Build and sustain differences in our organizations and build a advance and retain an inclusive first signatories of the CEO Action more inclusive culture inside and outside of diverse employees environment that for Diversity & Inclusion Pledge fosters innovation work. We welcomed the ”Check Your Blind and high when it launched in 2017. DIVERSITY & Spots” mobile bus tour to our Marlborough, performance INCLUSION VISION Massachusetts campus, where hundreds of The coalition unites business leaders A diverse and inclusive employees boarded the bus to participate culture that attracts, around four key commitments: develops and retains in virtual reality scenarios and learn new 1. eW will continue to make our the best team to deliver ways to understand and avoid unconscious COMMUNITY COMMERCE workplaces trusting places to have innovative medical bias. All participants signed an “I Act On” Promote diversity solutions Facilitate diversity and complex, and sometimes difficult, and inclusion inclusion outcomes pledge affirming their personal commit- conversations about diversity and awareness and to influence business ment to a more inclusive workplace and encourage opportunities inclusion. engagement community. We also collaborated with 2. eW will implement and expand company-wide other CEO Action companies to share best unconscious bias education. practices for fostering a work environment 3. eW will share best — and unsuccessful where difficult conversations about diversity — practices. Making Diversity and Inclusion Leadership Commitment and inclusion can occur. 4. eW will create and share strategic (D&I) a Priority Our leading advocate for D&I is Boston inclusion and diversity plans with Our diversity value stands for inclusion, Scientific Chairman and CEO Mike our Board of Directors. equity and opportunity for all. At Boston Mahoney. He was among the first of Scientific, D&I is instrumental to our more than 800 CEOs of leading companies thriving culture and our focus on to become a signatory of the CEO Action innovation. We consider it an urgent for Diversity & Inclusion Pledge, the largest issue and business imperative. The CEO-driven business campaign in the society we live in and the customers United States to advance diversity and and patients we serve are diverse in promote inclusive workplaces. culture, gender identity and ability. To remain innovative and competitive in Boston Scientific employees welcomed the marketplace, we must reflect this the Check Your Blind Spots mobile bus to truth through our people. We recognize the Marlborough, Massachusetts campus. change is gradual, and we are committed They participated in a unique, technology- to progress over time, not overnight. enabled multimedia experience focused on understanding and exploring ways to mitigate unconscious bias.

Boston Scientific 2019 Performance Report 24 Feature Patient A Message to Financial Our Mission Boston Scientific Boston Scientific Corporate Social Our Patients Our People Our Planet Our Practices Non-GAAP Highlight Our Stockholders Highlights and Core Values at a Glance by the Numbers Responsibility Reconciliations

In 2019, we strengthened company-wide Collaborating for Change Targeted Development & Retention Programs efforts to achieve our D&I goals for We collaborate with leading organizations Over the last two years, we broadened the increasing representation of women dedicated to promoting and supporting scope of EXCELerate, a multi-year program and multicultural talent on regional and the rights and development of women, first designed to foster female talent from functional leadership teams across the multicultural talent, people with disabilities manufacturing, supply chain, quality and organization. Attracting diverse talent was and lesbian, gay, bisexual, transgender new product development teams to now a key area of focus and we continued our and queer/questioning (LGBTQ+) talent. include participants from information trend of hiring a greater percentage of In the United States, our partnerships technology, global business systems multicultural talent and women than our include Advancing Minorities’ Interest and security. We also launched an effort current representation of these groups. in Engineering (AMIE), American Indian to begin offering the program to all Science and Engineering Society (AISES), multicultural talent. In 2019, employees Disability:IN, Hiring Our Heroes, the from four countries were matched with New Hires Hispanic Promise, the Human Rights Boston Scientific executives who serve as Women (Global) Campaign (HRC), the National Society of advisors, mentors and career advocates. Black Engineers (NSBE), National Action 51.2% 50.5% 50.2% Council for Minorities in Engineering Our MARC (Men Activating Real Change) (NACME), reacHIRE, the Society of Hispanic Leaders Program supports men as allies Professional Engineers (SHPE) and the and promotes a more level playing field Society of Women Engineers (SWE). for all. Its curriculum examines assump- Our Women’s Network (WN) Employee tions and mindsets to help leaders better Resource Group chapters continued to Boston Scientific is a founding member understand how dominant business culture expand in 2019 with four new chapters, 2017 2018 2019 of Disability:IN’s Inclusion Works Program and unconscious bias affect partnerships resulting in representation in each of (formerly Going for the Gold), and in 2019 between men and women. The program the company’s four global regions. The Multicultural (U.S./Puerto Rico) we were premier sponsors of the “IN for features an immersive day-and-a-half WN chapters hold programs that help 43.5% 42.6% Inclusion” annual conference. The event workshop and facilitated dialogue, participants develop their leadership skills, 40.7% offered a forum for 1,500 participants including ongoing engagement through set and pursue career goals and expand from more than 10 countries, including MARC alumni networks. Following a their networks. Examples of these offerings 200 NextGen Leaders with disabilities, to successful pilot in 2018, we offered the include the WN Twin Cities, Minnesota engage with industry peers about disability program to executive teams in 2019 and Professional Development Series, the WN 2017 2018 2019 inclusion. The conference featured sessions will offer new MARC opportunities to all “Lessons from LeadHers” in our Europe, on topics ranging from workplace and employees going forward. Middle East and Africa region, and various supply chain to technology, and it chapter mentoring initiatives such as celebrated leaders in disability equality. Mentoring Circles and Male Ally Network (MAN) mentor matching program.

Boston Scientific 2019 Performance Report 25 Feature Patient A Message to Financial Our Mission Boston Scientific Boston Scientific Corporate Social Our Patients Our People Our Planet Our Practices Non-GAAP Highlight Our Stockholders Highlights and Core Values at a Glance by the Numbers Responsibility Reconciliations

Diversity and Inclusion Goals We gained D&I momentum in 2019, We transparently measure and report achieving our "10" objective with numerous our progress in building a diverse Top 10 recognitions, as a Diversity Best workforce that fully reflects our core Practices Top 10 Percent Inclusion Index values and the customers and patients Company, among them. We also exceeded we serve. While traditional diversity our "20" goal with 20.8 percent multicultural recruiting efforts have targeted entry- representation at the supervisor and level positions or relied on top-down manager levels. We made significant change, our “10/20/40” by 2020 initiative progress toward our "40" goal with 38.1 shifted our focus to reshaping the percent representation of women in company’s core mid-level employee base. supervisor and manager roles. At all levels of the organization, representation of Our recent D&I progress was driven by women increased. The results reinforce the these 10/20/40 by 2020 goals: importance of making progress over time, not overnight. To that end, we have set 10: Be recognized as a top 10 leader new ambitious D&I goals to reach by 2023. for workplace inclusion;

20: Increase representation of multicultural talent to 20 percent at the supervisor and manager levels in the United States, including Puerto D&I 10/20/40 by 2020 Results Rico; and

40: Increase representation of women globally to 40 percent at the supervisor TOP and manager levels. 10 20% 40%

We were proud to be We reported 20.8% We reported 38.1% recognized as a Top 10% representation of multi- representation of Inclusion Index Company cultural talent at the women at supervisor by Diversity Best Practices. supervisor and manager and manager levels.* See more awards. levels, meeting our goal.*

*Results include 2019 acquisitions.

Boston Scientific 2019 Performance Report 26 Feature Patient A Message to Financial Our Mission Boston Scientific Boston Scientific Corporate Social Our Patients Our People Our Planet Our Practices Non-GAAP Highlight Our Stockholders Highlights and Core Values at a Glance by the Numbers Responsibility Reconciliations

Setting New Goals Achieving these goals will require We believe sharing our workforce Our “3Up by 2023” goals are growth continued change in three key areas demographic data is an important focused and ensure we continue to of the management-level employee step in holding ourselves accountable build on our measurable goals while experience: to measurable progress. To learn more also challenging ourselves to achieve Attraction: Hiring diverse managerial about our progress, visit our D&I website. them in shorter time frames. talent allows us to cultivate a rich pool of perspectives and backgrounds By December 31, 2022, we aim to achieve that will help us innovate beyond a 3 percentage point increase from our our current capabilities. 10/20/40 by 2020 representation goals: Development: Recognizing and Increase our goal for representation of providing opportunities to diverse women at the supervisor and manager talent already within our workforce level by 3 percentage points or more, ”D&I is a business imperative helps to ensure employees at all levels for a total of at least 43 percent. and success requires the experience meaningful career journeys. Increase our goal for representation of Retention: Paying attention to who engagement of our entire multicultural talent at the supervisor leaves our team matters just as much and manager level by 3 percentage company.” as who joins it. By supporting, engaging points or more, for a total of at least and retaining diverse talent, we can stem — Camille Chang Gilmore, Vice President, 23 percent. Boston Scientific Human Resources and attrition to maintain our diverse and Global Chief Diversity Officer Continue to be a Top 10 percent innovative culture. globally recognized leader for workplace inclusion, because we know that diversity benefits us all.

3Up by 2023 Goals

Increase our goal for Increase our goal for Continue to be a top 10% representation of women at representation of multi- globally recognized leader the supervisor and manager cultural talent at the for workplace inclusion, levels by 3 percentage points supervisor and manager because we know that or more, to at least 43% levels by 3 percentage points diversity and inclusion or more, to at least 23% benefits us all

Boston Scientific 2019 Performance Report 27 Feature Patient A Message to Financial Our Mission Boston Scientific Boston Scientific Corporate Social Our Patients Our People Our Planet Our Practices Non-GAAP Highlight Our Stockholders Highlights and Core Values at a Glance by the Numbers Responsibility Reconciliations

D&I Initiatives Recruiting Diverse Talent: Boston Scientific Boston Scientific is committed to creating stepped up efforts to recruit emerging equal opportunities for growth across the talent by deepening our relationships company. We believe that meeting this with institutions such as Historically Black objective requires: Colleges and Universities (HBCUs). In the Communicating with transparency summer of 2019, we hired more than about our strategy, actions and results 170 diverse interns from colleges and universities across the United States after Promoting diversity awareness and making 105 on-the-spot offers to students inclusion competency skills for at campus diversity recruiting conferences. employees worldwide

Driving accountability to promote Talent Management Bias Audit: We measurable D&I progress conducted a third-party review of our global talent management processes to With a heightened focus on attraction, identify potential unconscious bias. Using development and retention, we four key checkpoints — clear structures accelerated our D&I efforts with new and standards, difference awareness, skill resources and programs in 2019. building and data accountability — the evaluation offered insights for how we Diverse Leaders of Tomorrow: We can further refine management practices launched Diverse Leaders of Tomorrow, to achieve greater inclusion. a program to help diverse talent manage their personal and professional develop- Inclusion Toolkit: We launched a new Unconscious Bias Training: We expanded D&I Dashboard: This new internal ment and career progression. The two-day online Inclusion Toolkit that offers all our Unconscious Bias training to all analytics tool provides leaders a dashboard experience for high-potential leaders and employees on-demand D&I tools and employees, making it available in 18 to review and analyze their organization’s their managers focuses on equipping information. The content was developed languages. The 15-minute online course representation and trends, as well as participants for future leadership oppor- in response to feedback from 2018 focus walks employees through questions metrics for hiring, promotion and attrition. tunities through skill building, strategic groups with 350 employees. The toolkit’s and scenarios that help them recognize A summary is regularly provided to the planning and network expansion. resources include an Inclusive Behaviors blind spots or unconscious biases that Executive Committee. self-assessment that encourages people can negatively influence their work to know and increase their Inclusion relationships and decision making. Intelligence Quotient (IIQ).

Boston Scientific 2019 Performance Report 28 Feature Patient A Message to Financial Our Mission Boston Scientific Boston Scientific Corporate Social Our Patients Our People Our Planet Our Practices Non-GAAP Highlight Our Stockholders Highlights and Core Values at a Glance by the Numbers Responsibility Reconciliations

Employee Resource Groups Boston Scientific supports each ERG with Employee Resource Groups (ERGs) are resources, global and local executive at the foundation of our D&I strategy. sponsors and step-by-step information ERGs are voluntary, company-sponsored on how to structure and lead these employee groups that foster and celebrate organizations. Our Employee Resource our diverse work environment. While ERGs Group Handbook addresses all aspects are typically formed around a specific of launching and operating an ERG, from diversity dimension such as gender, race, mentorship and sponsorship to expense veteran status, sexual orientation or life policies and communications guidelines. stage, all employees are welcome and In 2019, we piloted ERG Insights, a new encouraged to join any ERG. Our ERG software management platform that chapters around the world collaborate connects employee groups in all regions across the business at all levels and are of the world. It offers online tools for considered powerful voices for change sharing information and managing group in the company. responsibilities, including event planning, budgeting and member communications. Following a successful soft launch with More than 4,500 Boston Scientific employees are active across nine ERG leads, we will soon offer all employees ERGs with 96 chapters globally, including 10 virtual chapters and access to ERG Insights in 2020. 30 chapters outside the United States.

The number of BRIDGE: Developing a Community PRIDE: Promoting Respect, Inclusion, of Black Leaders Diversity and Equality ERGs at Boston HOLA: Hispanic Organization for SAIL: South Asians in Leadership Scientific has more Leadership and Achievement VETS: Veterans & Employees Together than doubled over LEAD: Leadership, Education and in Service Allies for Disabilities the past five years. WN: Women’s Network PEARL: Pacific East Asian Resources In 2019 alone, 11 YPN: Young Professionals Network in Leadership new ERG chapters were launched.

Boston Scientific 2019 Performance Report 29 Feature Patient A Message to Financial Our Mission Boston Scientific Boston Scientific Corporate Social Our Patients Our People Our Planet Our Practices Non-GAAP Highlight Our Stockholders Highlights and Core Values at a Glance by the Numbers Responsibility Reconciliations

ERG Highlights

Serving the Underserved with Health Camps Workplace Accessibility Inclusive Restroom Signage Boston Scientific employees in our SAIL ERG collaborate In September, our LEAD ERG chapters in 10 locations Our PRIDE ERG played a lead role in a 2019 effort to create across our Marlborough, Massachusetts and Gurgaon, participated in Make Way Day, a global event dedicated more inclusive restroom signage at Boston Scientific office India offices to offer health camps for children. In 2019, to identifying ways to improve accessibility at Boston locations. PRIDE representatives collaborated with Human SAIL teamed up with the Health Care Services organization Scientific sites. From furniture and equipment to Resources and Global Facilities team members to review in India to organize local school visits by medical collaboration areas and digital accessibility, employees and consider proposals for signage and restroom design professionals. Approximately 800 students in three locations in the United States, Ireland, Puerto Rico and Costa Rica updates. As a result, two updates to our Global Design had the opportunity to receive healthcare screenings and worked together to generate new ideas for improving Guidelines were approved and are now being implemented. follow-up vaccines as well as dental and eye care. Students facilities. Their work continues in 2020 with the objective also received backpacks with dental kits and other supplies, of developing a company-wide accessibility strategy. and participated in STEM activities led by our volunteers.

Boston Scientific 2019 Performance Report 30 Feature Patient A Message to Financial Our Mission Boston Scientific Boston Scientific Corporate Social Our Patients Our People Our Planet Our Practices Non-GAAP Highlight Our Stockholders Highlights and Core Values at a Glance by the Numbers Responsibility Reconciliations

Global Council for Inclusion LGBTQ+ Equality Equal Employment Opportunity Policy The Boston Scientific Global Council for Boston Scientific has been, and will Inclusion oversees the implementation In 2019, we: continue to be, an equal opportunity of the company’s D&I strategies. Chief Sponsored the Equality Act legislation to establish protections against discrimination employer. To ensure full implementation Financial Officer Daniel Brennan chairs the based on sexual orientation or gender identity, and we signed onto an Amicus of the company’s equal employment council and its members include Chairman Brief filed with the U.S. Supreme Court to support upholding inclusive federal policy, we continue to ensure that and CEO Mike Mahoney, the Executive non-discrimination policies. recruitment, hiring, assignment, promotion, Committee, our global D&I team and all Equalized paid benefits for bonding leavein the United States for the birth parent, compensation and all other personnel global ERG leaders. The council meets non-birth parent, adoptive parent or parent who has a child through a surrogate, decisions are made and administered quarterly to evaluate D&I progress and and expanded transgender coverage for both voice and communication therapy without regard to race, religion, ethnicity, consider challenges that may arise for our and gender reassignment surgery. national origin, citizenship, sex, sexual employee groups in all locations. In 2019, orientation, gender identity, gender this work included the development of Created more inclusive restroom signage at Boston Scientific office locations, expression, veteran’s status, age, mental action items to ensure that ERGs and all including a new “All Gender” restroom sign design (formally “Gender Neutral”) as well or physical disability, genetic information leaders have the support they need to as single-occupancy restroom locator signs outside of gender-specific restrooms. or any other protected class. We draw foster an inclusive environment. The strength from the unique talents inherent council also welcomed nominations for in a diverse workforce and we believe our first-ever D&I Impact Awards and the best and most innovative products selected winners in four categories. come from an inclusive workplace where varied viewpoints are welcomed and encouraged. We also have a strict Inaugural D&I Impact Awards policy against harassment that is The Diversity and Inclusion Impact reinforced through training and Awards were established to recognize multiple communications channels. employees whose efforts help create a workplace where people can bring their authentic selves to work every day. The company honored winners in the categories of Business Impact, Valued Ally, Workplace Culture and ERG Leader of the Year.

Boston Scientific 2019 Performance Report 31 Feature Patient A Message to Financial Our Mission Boston Scientific Boston Scientific Corporate Social Our Patients Our People Our Planet Our Practices Non-GAAP Highlight Our Stockholders Highlights and Core Values at a Glance by the Numbers Responsibility Reconciliations

Listening to Our People Assessing People Leadership Skills Our best ideas come from our people. Our outreach to provide people leaders We listen to them as we continuously with feedback includes employee input improve our work environments and on annual performance reviews and strive to attract and retain top talent. 360-degree surveys. We also offer the In addition to encouraging ongoing SPARK survey that lets employees rate communication and feedback between their manager’s performance against a employees and their managers, we devote defined set of leadership behaviors. More resources to ensuring that all employees than 23,000 employees were invited to have the opportunity to share their ideas offer feedback on 3,380 people leaders and insights. in 2019, with a response rate of 77 percent. Of the participating managers, 87 percent Expanding Engagement (those with three or more direct reports We revamped our Employee Engagement responding) received a personalized Survey in 2019 to make it a more dynamic, feedback report. real-time assessment tool. The new format will launch in 2020 with employee Evaluating our Communications pulse surveys to facilitate continuous Boston Scientific conducts a bi-annual engagement, which will be followed by all-employee survey about our a Global Census Survey. The surveys and communications content and channels. results dashboards will be available on The 2019 survey generated responses mobile devices to offer easy access for from nearly 10,000 employees in all participation and review. This all-electronic regions, an increase from 8,200 in 2017. approach now enables us to evaluate and Of those respondents, 77 percent were share employee feedback with reduced non-management employees, 20 percent turnaround time. were supervisors and managers and 3 percent were leaders at the director level and above. The results showed an increase of 7 percent in overall satisfaction with company communications and provided insights that are informing ongoing efforts to engage our workforce.

Boston Scientific 2019 Performance Report 32 Feature Patient A Message to Financial Our Mission Boston Scientific Boston Scientific Corporate Social Our Patients Our People Our Planet Our Practices Non-GAAP Highlight Our Stockholders Highlights and Core Values at a Glance by the Numbers Responsibility Reconciliations

Setting the Bar Higher 2019 People Awards Boston Scientific is fully committed to promoting an inclusive culture and being D&I Awards Diversity Best Practices: Boston Gender Equality and Family, a an employer of choice for globally diverse Bloomberg Gender-Equality Index: Scientific was one of only 14 companies designation acknowledging our talent. In the spirit of transparency, we Boston Scientific was one of 230 to be named a Top 10% Inclusion Index inclusive and family-friendly culture. companies globally to be included in Company in 2019. participate in external benchmark index Best Companies to Work for in Asia: the Index, which tracks the performance surveys that candidly assess our progress Beyond the Yellow Ribbon Company: Our Taiwan and Hong Kong sites were of public companies most committed and ensure we are doing all we can to We were honored as a Yellow Ribbon both recognized as top places to work, to supporting gender equality. achieve our D&I goals. company for supporting service members, based on our workplace culture and Best Place to Work for Disability military families and veterans as they high levels of employee engagement. We are proud to have been recognized Inclusion: For the fourth consecutive transition to employment. Great Place to Work Certified, India: The by the following organizations in 2019. year, we have been recognized as a Best Companies for Multicultural Great Place to Work Institute honored Please visit our website for a complete Best Place to Work for Disability Inclusion, Women: Working Mother Magazine Boston Scientific with this award for our listing of Boston Scientific awards and receiving a 100% on the Disability recognized Boston Scientific for its high-trust, high-performance culture recognitions. Equality Index in 2019. policies, programs and practices that in India. Forbes Best Employers for Diversity: support career advancement for Top 50 Workplaces of the Fortune Forbes recognized Boston Scientific on multicultural women. 500: We were recognized as a top-rated its America's Best Employers for Diversity Best Companies for Moms & Dads: workplace by Indeed, which includes list for the second year in a row. Working Mother Magazine selected companies on the Fortune 500 Index Best Place to Work for LGBTQ Equality: Boston Scientific for its annual 100 Best with at least 100 employee reviews. For the fifth consecutive year, we earned Companies and Best Company for Dads 2019 Glassdoor Best Places to Work: a 100% score on the Human Rights lists, based on maternal and paternal Our employees contributed valuable, Campaign's Corporate Equality Index, leave policies, flexible work schedules candid feedback about working at earning the designation as a Best Place and inclusive benefits. Boston Scientific, earning us this honor to Work for LGBTQ Equality. based entirely on their reviews. Workplace Awards Hispanic Association on Corporate America’s Best Large Employers: Top 50 STEM Workplaces: We were Responsibility (HACR) Corporate Forbes ranked Boston Scientific #1 in honored for the third consecutive year Inclusion Index (CII): In our first year the Health Care Equipment and Services by AISES (American Indian Science and participating, we were named a 5-Star industry. Engineer Society), a U.S. non-profit Company for Employment based on focused on substantially increasing HACR’s accountability survey that Family Friendly Certified Company, representation of Native peoples in assesses inclusion of Hispanics in Korea: Boston Scientific Korea was STEM studies and careers. Corporate America. certified as a Family Friendly Organization by the Korean Government Ministry of

Boston Scientific 2019 Performance Report 33 Feature Patient A Message to Financial Our Mission Boston Scientific Boston Scientific Corporate Social Our Patients Our People Our Planet Our Practices Non-GAAP Highlight Our Stockholders Highlights and Core Values at a Glance by the Numbers Responsibility Reconciliations

Employee Growth and Development classroom sessions featuring business 2019 Highlights Developing our people professionally is simulations, coaching, case studies and one of the most important things we do. networking with peers and Executive Team Acceleration is a customized, At every level of the company, employees Committee members. In 2019, the ALDP interactive workshop that helps have access to programs, training and tools graduated 27 leaders from 11 countries. employees build and sustain high- they can use to advance their skills and performing teams. The two-day expertise and create greater possibilities for Leadership Development Program (LDP) curriculum offers tools that use their careers. is designed for director-level and above customer insights to help teams employees who are nominated to prepare gain clarity about their goals, roles, Developing Talent for their next level of growth. The curriculum processes and strategies in order We invest in building and sustaining an enhances their personal and leadership to accelerate and succeed. In 2019, environment where coaching and develop- skills through interactive sessions and gives more than 60 participants in the ment are a priority. To ensure the success them opportunities to network with global U.S. completed this pilot program. and growth of our leaders, we offer tools peers and senior leaders. In 2019, 39 par- and training to support their continuous ticipants from 10 countries completed the Insights Discovery is a methodology development as well as their accountability. program. More than 500 Boston Scientific that uses a four-color model and leaders have graduated from the LDP. evaluator to help people become With the pace of business moving faster In 2020, the curriculum and participants more self-aware about their style than ever, we are becoming more agile will shift to focus on preparing senior and strengths, guiding them to in the ways we meet the needs of our managers for director-level roles. better understand how they interact multigenerational workforce. The company and perform as team members. In 568,000 introduced and expanded development Management Development Program 2019, more than 1,800 employees hours spent by non- programs for all levels with easy-access (MDP) features resources and coaching participated in this training. toolst tha allow employees to manage their tools for new leaders. The mandatory manufacturing employees own growth and careers. Boston Scientific 18-month program covers hiring practices, Mastering Emotional Intelligence in virtual and classroom offers more than 150 professional and talent and performance management, is a training module that helps technical courses each year, including unconscious bias, situational leadership employees increase their emotional training in 2019 on-the-job training, skills-based learning and coaching skills. More than 2,200 quotient (EQ) skills, including how and programs for talent who have the managers worldwide completed over they communicate, make decisions, potential to hold future leadership positions. 5,000 MDP sessions in 2019. Based on respond to change and handle stress the success of the MDP, we are launching or conflict. More than 300 people Accelerated Leadership Development the People Leader Experience in 2020, a at Boston Scientific completed the Program (ALDP) expedites the readiness of 12-month program for new leaders that on-demand, voluntary training in 2019. high potential leaders and key successors to includes onboarding activities, development take on more complex roles. Senior leaders experiences and guidance for enhancing act as facilitators for a series of one-week partnerships with supervisors.

Boston Scientific 2019 Performance Report 34 Feature Patient A Message to Financial Our Mission Boston Scientific Boston Scientific Corporate Social Our Patients Our People Our Planet Our Practices Non-GAAP Highlight Our Stockholders Highlights and Core Values at a Glance by the Numbers Responsibility Reconciliations

Leadership Development Across Cultures build our talent pipeline for future The bi-annual Asia Pacific Women's Boston Scientific offers targeted leadership commercial leaders in the Asia Pacific Leadership Summit, held in Bangkok, development programs to complement region. The curriculum includes Thailand, included female leaders, male corporate programs and support talent business projects and career-building advocates and senior executives from 10 throughout the organization. Some international work experiences, and it countries (left). With the theme “Behind examples of our regional development is customized to meet each talent’s every strong woman leader is a network programs include the following: unique developmental needs. supporting her,” the summit provided a platform for leaders to sharpen their Our Key Talent Program in the Europe, Senior leaders and program alumni skills and build a network for sharing Middle East and Africa (EMEA) region facilitate our leadership development best practices and promoting women’s provides high-potential senior managers program in Latin America, which supports career advancement. and directors the opportunity to advance building capabilities to address the their development. The initiative aims region’s emerging market challenges Cross-Cultural Learning to deepen the region’s leadership talent and unique health ecosystem. In 2019, As a global company, we offer employees through a combination of growth 60 participants from five countries the opportunity to routinely interact with experiences, coaching and interactions completed the 10-session curriculum. peers, customers and patients from a with senior leadership. In addition, nearly 200 emerging variety of cultures and countries. We have leaders participated in country-level developed a comprehensive portfolio of The Asia Pacific Leadership development programs in Colombia on-demand training and resources to Development Program is an (above left), Brazil, Argentina, Puerto support cross-cultural learning and accelerated development program Rico and Mexico (above right). awareness among all employees. for talented and diverse leaders to

Boston Scientific 2019 Performance Report 35 Feature Patient A Message to Financial Our Mission Boston Scientific Boston Scientific Corporate Social Our Patients Our People Our Planet Our Practices Non-GAAP Highlight Our Stockholders Highlights and Core Values at a Glance by the Numbers Responsibility Reconciliations

Compensation and Benefits Equal Pay for Equal Work: Pay Equity Pay Equity Boston Scientific compensation and Global compensation practices at Boston benefit programs support the well-being Scientific are rooted in our values and the Gender (Global) and health of our people while also high priority we place on paying people providing flexibility to meet their needs equally for equal work. We regularly bench- and expectations. Our teams continually mark salaries, conduct annual internal 99.2% 99.4% 99.3% evaluate these programs to reach beyond and external parity audits and review 99.9% 100% 99.5% best practices with offerings that are pay recommendations company wide. the best fit for our employees in our In addition, we contract with an indepen- 2 multigenerational, multicultural workforce. dent, third party to annually assess pay Salaried Sales Hourly equity across all positions using regression 2019 2018 2019 2018 2019 2018 Compensation analysis. This data analytics approach We believe strongly in pay for performance. controls for variables that influence Multicultural Talent (U.S./Puerto Rico) Where it is relevant to an employee’s compensation such as job position, tenure, responsibilities and is in compliance with years of experience and location. We use local and national labor standards, we the results to identify any potential pay 99.4% 100% 99.3% disparities that should be addressed. strive to offer both a base and a variable 100% 100% 99.3% component to employee pay, including annual bonus programs, long-term In this process, we look closely at both incentive stock awards and performance pay equity and pay parity. We place more Salaried Sales Hourly rewards issued on a one-time basis, weight on pay equity to advance inclusion, 2019 2018 2019 2018 2019 2018 including on-the-spot bonuses for highly equality and opportunity for all. In 2019, we successful projects, and recognition continued to see pay equity results that awards for breakthrough performance. reflect our practices and the commitment of our leaders to ensure equal pay: 99+ Sustaining equal pay for equal work improve on our results, maintain trans- percent pay equity for gender globally and requires constant measurement and parency and educate leaders on our pay % 99+ percent pay equity for multicultural attention. Our pay practices support the equity practices. In 2019, our compensation +pay equity talent in the United States and Puerto Rico. company’s high-performance culture, experts also held face-to-face meetings 99 In the few instances where we identified including regular company-wide bench- and teleconferences at major worksites for gender globally, and a gender disparity — which occurred in marking of salaries, internal parity audits globally to address employee questions. positions involving both men and women and reviews of pay recommendations for multicultural talent in — we examined the circumstances and across the business. We continue to the U.S. and Puerto Rico acted to increase pay where appropriate. assess and fine-tune our practices to

2 Resolution Economics LLC Boston Scientific 2019 Performance Report 36 Feature Patient A Message to Financial Our Mission Boston Scientific Boston Scientific Corporate Social Our Patients Our People Our Planet Our Practices Non-GAAP Highlight Our Stockholders Highlights and Core Values at a Glance by the Numbers Responsibility Reconciliations

Benefits Global Employee Assistance Programs In 2019, we addressed the increasingly months postpartum or pursuing fertility We understand that good health, The company’s Global Employee Assistance varied needs for support and flexibility treatment. No-cost benefits available well-being, financial health and security Programs maintain a network of support in our workforce, which is more through Maven include support through are essential for a productive and and resources that encourage overall multigenerational than ever before. In egg freezing, fertility, pregnancy, thriving workforce. One of the important well-being, including help with finances, Japan, we developed a handbook and postpartum, adoption, surrogacy, early ways we support a culture of health family life, elder/childcare and mental new managerial practices to support pediatrics and returning to work. for our people is by providing them health. We continued to broaden the women returning to work after childbirth U.S. paid parental leave: Benefits are with comprehensive benefits. availability of these programs to include or other career break. We also completed available to all employees who are all countries where our company has a a Workflex pilot program in the United new parents — birth parents, non-birth Our benefits plans are based on these concentration of employees. States aimed at improving life-work parents, adoptive parents and now principles: satisfaction and expanded financial for parents who have a child through Enable high-performing talent: As wellness benefits to address the needs surrogacy. In 2020, we also expanded part of a broader rewards portfolio, we of employees, from those starting their non-birth paid parental bonding leave offer market competitive benefits that careers and building financial profiles to to eight weeks. are flexible and affordable to meet the those investing for retirement. individual needs of our increasingly Surrogacy benefits: We introduced diverse talent base. We took further action to acknowledge a surrogacy expense reimbursement that “family” has become a broadly defined program so U.S. employees who have Support life-work integration: We strive and inclusive term. The following benefits a child through surrogacy now have to offer programs that acknowledge, became effective in 2019 or in January of benefits similar to those we offer respect and support an individual’s life Embracing Life-Work Needs 2020. employees who adopt children. and work choices. Our Global Benefits to Fit Your Life program EMEA paid parental leave: In the Expanded fertility benefit: We enhanced Promote well-being: Our programs are is a package of solutions designed to EMEA region, we significantly expanded our employee fertility benefit for U.S. holistic in approach and designed to make life-work integration easier for all parental leave for employees. All new employees to cover treatments without support physical, emotional, social and employees, regardless of their stage of parents working at Boston Scientific any diagnosis requirements, making it financial well-being. life. It provides the benefits and services sites in the region are now eligible for easier for employees to receive assisted our employees want in order to be happy, a minimum of 18 weeks of fully paid Value and cultural fit: We strive to reproductive technology, including productive and engaged in their roles. leave during the first year of their child’s offer benefits that our employees value, those who are single or in same-sex Our life-work offerings include telehealth birth or adoption. differentiate our culture and support relationships. services, childcare and parental care an inclusive work environment. Women’s and family health: In the benefits, college and financial planning, United States, we partnered with the To learn more about our benefit programs Communication and tools: We aim a breast milk shipping service, tuition virtual clinic Maven to expand our and services, visit BenefitsConnect. to communicate in a manner that support, a meal-planning service and offerings for employees and their makes our plans easy to use and sabbaticals for employees with more partners who are pregnant, up to six enables employees to take action than seven years of service. to achieve well-being.

Boston Scientific 2019 Performance Report 37 Feature Patient A Message to Financial Our Mission Boston Scientific Boston Scientific Corporate Social Our Patients Our People Our Planet Our Practices Non-GAAP Highlight Our Stockholders Highlights and Core Values at a Glance by the Numbers Responsibility Reconciliations

Employee Health and Safety During the year we expanded the TRIR goal Occupational Health and Well-being In 2019, we promoted the benefits of Boston Scientific takes a global approach to include our global organization and set The people of Boston Scientific are volunteering through community litter to prioritizing, executing and monitoring a goal of 0.25 by 2030, cutting our incident our most valuable resource, and a pickups, blood donations, group mountain efforts to ensure employee safety and rate by 50 percent across the company. comprehensive occupational health and climbs and our LEAD ERG’s support for a foster a safety-oriented culture in all of This new 2030 TRIR goal will be a key well-being program is an integral part “Run 1 Mile” event. our offices and facilities. performance indicator incorporated into of our employee support system. Our our company-wide performance tracking Occupation Health Council expands the We also released the EHS Essentials We set health and safety goals called Total for safety, quality, service and cost. reach of our health and wellness programs handbook for employees with EHS Recordable Incident Rate (TRIR) targets for with offerings including employee responsibilities throughout the organization. every Boston Scientific operations site. To We integrate multiple health and safety nutrition, healthy minds, healthy bodies, The handbook details our company-wide measure the number of injuries per 100 metrics in our Environment, Health and weight management support, yoga, EHS strategy and policy, and establishes employees, our EHS Operations Council Safety monitoring systems at both the mindfulness meditation, smoking cessation the expectations and responsibilities for reviews performance monthly to discuss local and global level in accordance with support and group sporting events. We all Boston Scientific sites. trends and risks, as well as opportunities the Boston Scientific EHS policy. Our also broadened our focus on mental for improvement. performance against these metrics is health awareness and developed more reviewed daily by local site groups, weekly ways to offer help, resources and referrals Total Recordable Incident Rate in management meetings and monthly to care providers. (TRIR) Goals with global leadership to identify and respond to any adverse trends or incidents. In 2019, we met our An employee enjoying her workout in the 10-year target of fitness center at our global headquarters in Marlborough, 0.5 TRIR Massachusetts. 2030 Goal: 0.25 TRIR Achieve a company-wide safety goal of 0.25 injuries per 100 employees

Boston Scientific 2019 Performance Report 38 Feature Patient A Message to Financial Our Mission Boston Scientific Boston Scientific Corporate Social Our Patients Our People Our Planet Our Practices Non-GAAP Highlight Our Stockholders Highlights and Core Values at a Glance by the Numbers Responsibility Reconciliations

Pursuit of Excellence in our Global Facilities

We maintain facilities at the Buenos Aires, Argentina Chengdu, China Clonmel, Ireland Madrid, Spain Shanghai, China highest standards to ensure Our Buenos Aires team In Chengdu, China we The new open-space Our Madrid team moved Our Shanghai headquarters the company’s workspaces moved into a newly opened an Institute for building on our Clonmel, into a new office that features a renovated promote optimal physical renovated office that Advancing Science, a Ireland campus is features an Institute for Institute for Advancing health and overall well-being. offers collaborative spaces 17,000 square-foot facility designed to encourage Advancing Science as well Science and office space. Our scientific environments and plenty of natural light. with state-of-the-art employee mobility. as ample collaboration are designed to foster labs and classrooms for spaces. creativity, communication healthcare professionals and innovation. In 2019, our to learn about Boston facilities teams increased Scientific products and the use of natural light at a procedures. number of campuses and added collaborative work areas that offer employees greater flexibility, more networking opportunities and the agility to do their best work.

Boston Scientific 2019 Performance Report 39 Feature Patient A Message to Financial Our Mission Boston Scientific Boston Scientific Corporate Social Our Patients Our People Our Planet Our Practices Non-GAAP Highlight Our Stockholders Highlights and Core Values at a Glance by the Numbers Responsibility Reconciliations

Caring for Our Communities HEALTH: Fostering Healthy Communities Our employees are the driving force We embrace the profound responsibility behind the way we live our caring value that comes with our work in health care. in the communities where we work. They Because preventing illness is as important have a prominent voice in how we invest as treating it, our health awareness in the well-being of communities and programs offer education and resources volunteer to make the world a better to help people live better, healthier lives. place. Our community outreach focuses In regions where people lack adequate on three key areas: access to information and basic care, we collaborate with charities and other Health: We aim to decrease health non-governmental organizations to disparities for the underserved by make strides in reducing chronic disease providing access to quality care. This risk and health disparities in these work is grounded in prevention through underserved populations. education and awareness, providing Project HOPE in India access to care by increasing the number In an effort to contribute to improved of qualified healthcare workers and In 2016, Boston Scientific partnered with community and strengthen the necessary health for as many patients as possible, preparing kids at risk for, or diagnosed the health and humanitarian relief orga- referrals to chronic disease clinics, we share our products, expertise, time with, a chronic disease for their journey nization Project HOPE to fund the United Accredited Social Health Activist (ASHA) and resources globally. Our partnerships into adulthood. Dialogue and Action Against Non-Com- and Anganwadi Workers (AWW) for home with Project HOPE, Children’s HeartLink municable Disorders (UDAAN) program. follow-up care. In addition, the UDAAN Community: Through engagement and Partners in Health have helped to We entered into this collaboration to help program’s education efforts emphasized and recognition programs, we are increase the number of healthcare workers stem the significant rise in premature the importance of healthy lifestyles empowering our employees to advance focused on chronic disease worldwide. mortality in India, where chronic diseases through interpersonal counseling and possibilities in their local communities Since 2016, these collaborations have are estimated to account for 60 percent community mobilization. by donating their time and resources provided training for more than 2,800 of all deaths. Over the last three years, to help those most in need. healthcare professionals and chronic we worked with the Project HOPE team Because of the commitment of Boston disease screening, education or care Education: As a longtime advocate to implement the program in the Ranchi Scientific, Project HOPE: for more than 23,000 people in India, for education and STEM (Science, district of Jharkhand State. Screened 13,534 adults between the South Africa, Malaysia and Mexico. Technology, Engineering and Math) ages of 30 and 70 for non-communicable programming for K-12 students, we The initiative focused on working collab- diseases (NCDs)

are developing diverse future talent oratively with the State Government of Trained 1,321 community health workers that will enable us to create health Rajasthan to deliver services, care and and medical officers on NCD protocols solutions for generations to come. support for health practices that can Reached 220,000 people from help prevent chronic disease. It also built 200 villages capacity into health systems to identify and manage chronic disease in the

Boston Scientific 2019 Performance Report 40 Feature Patient A Message to Financial Our Mission Boston Scientific Boston Scientific Corporate Social Our Patients Our People Our Planet Our Practices Non-GAAP Highlight Our Stockholders Highlights and Core Values at a Glance by the Numbers Responsibility Reconciliations

COMMUNITY: Giving Back In 2019, more than 10,000 Boston Scientific 10,000+ employee volunteers contributed more than 41,000 hours of their time in 38 employee volunteers countries, and they supported more than 600 community events. Our annual awards program, which recognizes and rewards employee community service efforts, 41,000+ hours received more than 140 nominations.

In 2019, Boston Scientific contributed more than $85 million to support medical 38 countries research, education and charitable organizations. We provided $77 million in funding for research, education and fellowships addressing a broad spectrum 600+ of health conditions and diseases. community events Our charitable donations to support A local school’s new program to offer through an impressive range of communities around the globe totaled students first-time access to robots community projects. Our contributions more than $8.1 million. included book drives for hospital Repairs for a farm that provides libraries in Greece, a fitness challenge enrichment programs for individuals In addition, as a result of employee in Galway, Ireland and disaster relief 140+ with and without disabilities participation in the Boston Scientific supply campaign in Singapore. In Latin award nominations Employee Matching Gifts Program, we New shelving for a food pantry to America, employees mobilized to made $1.2 million in contributions. provide access for all clients regardless commemorate World Environment of mobility restrictions Day with tree plantings and other $ Possibility Grants green initiatives. In Malaysia, we hosted STEM experiences for students from 162+ million Boston Scientific employees from our a blood donation campaign and worked homeless families who are placed in Massachusetts and Minnesota facilities with local charities to expand their in contributions for medical transitional housing facilities have the opportunity to nominate local outreach. Closer to our global headquarters research, education and non-profits for Possibility Grants that help in Massachusetts, we sponsored volunteer Week of Caring meet a significant community need. In awareness events and deployed teams charitable organizations In the second annual Boston Scientific 2019, we awarded $15,000 in Possibility to staff 28 community projects in the Week of Caring, employees in over 15 Grants to 10 non-profit groups. Community Boston area. countries demonstrated the positive efforts and improvements supported by difference we can make together these grant recipients include:

Boston Scientific 2019 Performance Report 41 Feature Patient A Message to Financial Our Mission Boston Scientific Boston Scientific Corporate Social Our Patients Our People Our Planet Our Practices Non-GAAP Highlight Our Stockholders Highlights and Core Values at a Glance by the Numbers Responsibility Reconciliations

2019 Highlights: Caring for Customers, Communities and Patients

Colon Cancer Awareness Events STEM and Family in Seoul The Southern California Endoscopy Sales Employees and their children gathered Team joined their local customers to in Seoul for our South Korea STEM and host colon cancer awareness events led Family Event. Using a bring-your-child-to- by California hospitals and communities. work approach, the program offered an China Caring Team The purpose of the events was to reach opportunity for kids to develop an interest Employees in China volunteered alongside the China Mayor's Association and the Bethune at-risk individuals in the community and in STEM as they learned about Boston Foundation to help with local patient health screenings. The first event of this initiative was provide them with information as well as Scientific, our products and what their held in Panzhihua, Sichuan Province. With the assistance of the local government and the access to colon cancer screenings. parents do at work. Participants were Panzhihua Chinese-Western Hospital, more than 300 patients received blood pressure also trained in CPR and how to help in screenings and education materials on various medical conditions. Volunteer Recognition Awards a life-threatening situation. The Boston Scientific Global Community Engagement team announced the three Rhythm Management Product “In nearly 30 years of working at Boston winners of our second annual Volunteer Donation Program Recognition Awards. Nearly 100 employees We support U.S. physicians with resources Scientific, I’ve never been prouder of how from 24 countries were nominated for for their humanitarian missions. Our our teams embrace so many significant their commitments to improving their local Cardiac Rhythm Management and and global communities. Our honorees’ Electrophysiology Grant Committee ways of caring.” contributions included grassroots volunteer reviews and approves applications from campaigns, advocacy for disabled athletes, doctors for indigent care and humanitarian — Marilee Grant, Director, Boston Scientific Global Community and leadership that resulted in medical product donations. In 2019, the committee Engagement and humanitarian missions. approved $180,000 in funding for missions to Egypt, India, Honduras, Bolivia, Lebanon and Dominican Republic.

Boston Scientific 2019 Performance Report 42 Feature Patient A Message to Financial Our Mission Boston Scientific Boston Scientific Corporate Social Our Patients Our People Our Planet Our Practices Non-GAAP Highlight Our Stockholders Highlights and Core Values at a Glance by the Numbers Responsibility Reconciliations

EDUCATION: Inspiring the Our Commitment to STEM Next Generation of STEM Innovators Our employee volunteers bring their STEM Camp in Puerto Rico energy and expertise to introduce K-12 The Boston Scientific Dorado manufacturing plant hosted 19 youth to STEM experiences and careers. public school students for an intensive one-week summer In our work to inspire a diverse generation technology camp. The program, designed and led by our local of STEM innovators, Boston Scientific STEM team, focused on how to put new concepts for innovation brings customized STEM activities and into practice. Students participated in problem-solving interactive experiences to the young activities and took on challenges such as applying Newton’s people in the communities we serve. Laws and constructing a robot.

Our teams are especially interested in introducing students from under- represented populations to the possibilities Technical Training in India STEM learning can provide. They consult Employees in Gurgaon partnered with the Kiki Centre for Technology with educators to better understand to offer a new pathway for youth to apply skills they learn in the students’ needs and conduct STEM classroom to real-world experiences. Students enrolled in the outreach through a combination of three-year technical training course received classroom instruction mentoring, sharing career experiences and industry training with local businesses. Three students selected and leading participants through for Boston Scientific internships completed their first year of training hands-on experiments and onsite tours. in 2019.

Boston Scientific has dedicated volunteer teams focused on STEM programming at 13 sites. Their work to help grow a future pipeline of diverse talent includes finding Future Med-Tech in China creative ways to share their passion for At Boston Scientific Shanghai, we welcomed 30 sixth graders for a their work, from career cards and videos day of STEM activities that included a site tour, a 3D-surgery tutorial to events that introduce students to a and simulated surgical operations. A highlight of the event was the variety of STEM roles. In 2019, our launch of Design Thinking with Future Med-Tech, a new interactive people contributed: program developed with the help of JA China. The curriculum was 12,000+ STEM volunteer hours designed to inspire innovation and show students how new ways 1,500+ STEM volunteers of thinking can lead to healthcare solutions. 160+ STEM events

Boston Scientific 2019 Performance Report 43 Feature Patient A Message to Financial Our Mission Boston Scientific Boston Scientific Corporate Social Our Patients Our People Our Planet Our Practices Non-GAAP Highlight Our Stockholders Highlights and Core Values at a Glance by the Numbers Responsibility Reconciliations

t Our Plane

46 GEMS Key Performance Indicators

47 Climate Change

48 Environmental Impact

50 Green Team Environmental Sustainability Initiatives

Every day, Boston Scientific is... Boston Scientific employees participating in a tree planting event in Colombia in helping shape the future of our planet. September 2019.

Boston Scientific 2019 Performance Report 44 Feature Patient A Message to Financial Our Mission Boston Scientific Boston Scientific Corporate Social Our Patients Our People Our Planet Our Practices Non-GAAP Highlight Our Stockholders Highlights and Core Values at a Glance by the Numbers Responsibility Reconciliations

Our Planet

A critical challenge for us as a global Our Global Energy Management “ Working in the healthcare space, we medical device manufacturer is to deliver System (GEMS) helps ensure that we on our promise to customers and patients meet ambitious energy reduction have the privilege to help advance while caring for the planet. The way we do and greenhouse gas (GHG) reduction science and improve patient health, our jobs each day contributes to reducing targets using the C3 strategy (Cut, our environmental impacts, achieving Convert, Compensate). Developed but we also have the responsibility to carbon neutrality and improving supply in collaboration with the National do this work in a sustainable manner chain sustainability. We are making University of Ireland, Galway (NUI measurable progress toward shaping a Galway), GEMS focuses on cutting that enriches communities. We’ve set better future for our planet by proactively energy use, converting to renewable aggressive environmental goals to do addressing energy consumption, carbon energy resources instead of fossil emissions, waste management and fuels and compensating with carbon our part to help shape a better future water use. offset projects where needed. Our for our planet, and we’re holding advances through GEMS earned The Boston Scientific Environment, Health Boston Scientific and NUI Galway ourselves accountable.” and Safety (EHS) Policy outlines our high recognition as finalists for the 2019 — Brad Sorenson, Senior Vice President, Boston Scientific environmental standards and is central to US-Ireland Research Innovation Awards, Manufacturing and Supply Chain the work of our newly established EHS a joint initiative of the Royal Irish Center of Excellence. We rigorously measure, Academy and the American assess and report progress toward our Chamber of Commerce, Ireland. EHS goals globally. Across all operations and key distribution locations, we strive to We are continually monitoring progress Our targets to achieve carbon neutrality by 2030: meet and exceed International Organiza- through GEMS and our teams are tion for Standardization (ISO) standards for working to meet or exceed the following environmental management systems. In targets with the overall goal of achieving % % % 2019, our newest manufacturing location in carbon neutrality by 2030: 50 100 90 Penang, Malaysia achieved ISO 14001:2015 50 percent renewable electricity by 2021 renewable renewable renewable certification. Of the 16 Boston Scientific 100 percent renewable electricity by 2024 sites that have earned this certification, 13 90 percent renewable energy (all sources) electricity electricity energy (all facilities achieved zero non-conformances by 2027 by 2021 by 2024 sources) by 2027 during the 2019 audit cycle.

Boston Scientific 2019 Performance Report 45 Feature Patient A Message to Financial Our Mission Boston Scientific Boston Scientific Corporate Social Our Patients Our People Our Planet Our Practices Non-GAAP Highlight Our Stockholders Highlights and Core Values at a Glance by the Numbers Responsibility Reconciliations

The GEMS methodology is implemented through our global energy team, including representatives from each Boston Scientific manufacturing and main distribution sites. We measure our performance through these GEMS key performance indicators (KPIs):

2015 2016 2017 2018 2019 Carbon Footprint Total amount of Scope 1 and Scope 2 GHG emissions emitted into the 118,327 108,694 94,946 85,127 84,778 (MT CO2eq) atmosphere from manufacturing and distribution sites. Measured in metric tons of carbon equivalent.

Energy Use (kWh) Total energy Boston Scientific consumes annually to manufacture 370M 367M 364M 352M 368M our products.

Energy Use kWh/$K Total normalized energy Boston Scientific consumes annually to 49 44 40 36 34 Revenue manufacture our products.

EM3 An energy management maturity model to establish where in the 2.7 3.2 3.6 3.7 3.9 “energy journey” each manufacturing site resides on a scale from 1 to 5 (Minimal > Emerging > Developing > Advancing > Leading).

Green Real Estate Percentage of Boston Scientific real estate that is independently 27% 28% 32% 37% 45% (% of total) certified for energy efficiency by industry-leading programs such as LEED for design and Energy Star or ISO50001 for building operations.

Renewable Energy Percentage of total energy consumed, generated from renewable – – – 5% 11% (% of total) energy sources, with Boston Scientific owning the renewable attributes.

Cleaner Energy Energy produced from fossil fuels, but based on high-efficiency 6% 7% 9% 9% 11% (% of total) technologies such as combined heat and power (CHP) in comparison to conventional power generation.

Boston Scientific 2019 Performance Report 46 Feature Patient A Message to Financial Our Mission Boston Scientific Boston Scientific Corporate Social Our Patients Our People Our Planet Our Practices Non-GAAP Highlight Our Stockholders Highlights and Core Values at a Glance by the Numbers Responsibility Reconciliations

Climate Change States, Central America, Europe and LEEDing Locations By addressing the company’s energy Asia, including our San Jose Baytech consumption, carbon emissions and site in California, which achieved 45% of our global footprint worldwide is green real estate environmental design, we are reducing LEED certification in 2019. In Sweden, our climate impacts. our Helsingborg Office achieved "Miljöbyggnad” Silver certification Striving for Carbon Neutrality from the Sweden Green Building Boston Scientific is committed to achieving Council, Sweden's largest organization carbon neutrality across our manufacturing for sustainable community building. and key distribution sites by 2030. Carbon neutrality means achieving net zero carbon Continual improvement in the energy United States San Jose Baytech, California LEED Silver emissions associated with manufacturing performance of our manufacturing Maple Grove, Minnesota LEED Silver / LEED Certified operations and energy use by balancing operations has earned ISO certification for Marlborough, Massachusetts LEED Gold / LEED Certified the amount of carbon released with an five of our manufacturing locations. The Quincy, Massachusetts LEED Silver / LEED Certified equal amount removed or compensated. company’s two Costa Rica manufacturing Increased levels of carbon dioxide and sites in Coyol and Heredia have been Central America Coyol, Costa Rica LEED Silver / ISO 50001:2011 other GHG emissions in the atmosphere carbon-neutral since 2016 and received Heredia, Costa Rica ISO 50001:2011 are closely tied to climate change, ISO 50001:2011 certification the following and achieving carbon neutrality will year. In 2019, Boston Scientific facilities Europe Clonmel, Ireland ISO 50001:2018 significantly reduce our contribution in Clonmel, Cork and Galway, Ireland Cork, Ireland ISO 50001:2018 to this pressing issue. achieved ISO 50001:2018 certification. Galway, Ireland ISO 50001:2018 Our distribution center in Kerkrade, Kerkrade, Netherlands LEED Silver / Lean and Green Leading in Energy Certification Netherlands maintained its 3rd Lean Helsingborg, Sweden Miljöbyggnad Silver Sustainability is a critical objective for our & Green Star certification, first awarded global facilities' teams as we focus on in 2018 by Europe’s leading program Asia Beijing, China LEED Silver / LEED Certified improving existing sites and developing for sustainable logistics. We are one Shanghai, China LEED Silver new construction in an environmentally of only nine companies in Europe Penang, Malaysia LEED Silver responsible manner. to receive this award for carbon Singapore LEED Silver emissions reduction. Leadership in Energy and Environmental Design (LEED) is an internationally In total, Boston Scientific operates We have committed to achieving recognized certification program for 4.3 million square feet of independently carbon neutrality in all of the environmental performance and certified green real estate that supports sustainable design of buildings. Boston our energy performance and sustainability our manufacturing and key Scientific now has 14 LEED-certified goals, representing 45 percent of our distribution sites by 2030. buildings on campuses in the United footprint worldwide.

Boston Scientific 2019 Performance Report 47 Feature Patient A Message to Financial Our Mission Boston Scientific Boston Scientific Corporate Social Our Patients Our People Our Planet Our Practices Non-GAAP Highlight Our Stockholders Highlights and Core Values at a Glance by the Numbers Responsibility Reconciliations

Investing in Renewable Energy We continue to make progress toward Our work to reduce GHG emissions our goal of purchasing 100 percent includes investing in renewable energy. renewable electricity by 2024. In 2019, At two of the company's locations in our three manufacturing sites in Ireland Massachusetts, we have onsite solar marked their first full year of operating with installations that generated a combined certified 100 percent renewable electricity. total of 3.1 million kilowatt-hours of Over the course of the year, renewable renewable electricity in 2019, resulting energy accounted for 11 percent of our in savings of nearly 1,000 metric tons energy purchased. In addition, we executed of GHG emissions. At our Marlborough a virtual power purchase agreement for headquarters and Quincy distribution 100 percent renewable electricity for our center, solar energy was responsible U.S. energy needs. for 46 percent and 45 percent of the electricity required to operate, respectively. Environmental Impact Also in Massachusetts, Boston Scientific As a company with a global footprint and became the anchor business customer global impact, we have a responsibility Clearway Energy Group community solar project in Massachusetts for a new 12.9-megawatt community to carefully manage the materials in our solar development, a project involving products and packaging, the resources large and small businesses and residential used to manufacture and transport them Waste Management In addition, we almost met our 10-year households that will increase access to and what happens to any waste generated. Sustainable waste management continues environmental goal of an 81 percent clean energy across the state. We measure waste generation and to be a significant priority for Boston recycling rate. In 2019, we evaluated our water use at our major manufacturing Scientific. We have adopted international efforts and committed to a 2030 goal of and distribution facilities through the best practices and research-based protocols achieving TRUE Zero Waste Certification implementation of ISO 14001:2015. The as our teams work to continually make for our operations and key distribution Boston Scientific plant in Malaysia achieved greater progress. In 2019, we recycled 80 sites. This certification will create a ISO 14001:2015 certification in 2019, and we percent — 8,943 metric tons — of total framework for minimizing non-hazardous now have 16 sites certified to this standard. solid waste. The company’s operations solid wastes and maximizing efficiency and primary distribution sites recycled in the company’s use of resources. or recovered 54 percent of hazardous and regulated waste generated. We also diverted 95 percent of solid waste from landfills. Solar installment at Boston Scientific global headquarters in Marlborough, Massachusetts

Boston Scientific 2019 Performance Report 48 Feature Patient A Message to Financial Our Mission Boston Scientific Boston Scientific Corporate Social Our Patients Our People Our Planet Our Practices Non-GAAP Highlight Our Stockholders Highlights and Core Values at a Glance by the Numbers Responsibility Reconciliations

Conserving Water Recognitions for We understand the importance of water as Sustainability Leadership a shared resource. While Boston Scientific operations are not water-intensive, we FTSE4Good Constituent: Boston are committed to minimizing consumption Scientific earned 2019 certification and being prepared for environmental in the FTSE4Good Corporate Social challenges such as water scarcity. In 2019, Responsibility Index, which measures we conducted an assessment of water- the performance of companies related risks and opportunities at all demonstrating strong Environmental, manufacturing and central distribution Social and Governance (ESG) practices. sites based on local water stress and intensity of water use. Using the World Chelsea Santucci Greenovation Resources Institute Aqueduct — a global Awards: Boston Scientific sites in water risk-mapping tool — we determined Dorado and Maple Grove were that 11 locations are at low overall honored for their environmental water-related risk, and six facilities are performance and sustainability Double Wins: Greenovation Award in the low-to-medium water-related efforts by Kimberly-Clark Professional. risk category. This effort will expand Our teams in Dorado, Puerto Rico and Maple Grove, Minnesota received 2019 Chelsea in 2020 to include the company’s Santucci Greenovation Awards for results they achieved as participants in RightCycle, significant commercial operations. the first large-scale recycling program for non-hazardous laboratory and industrial waste. % Through an intensive effort to collect previously hard-to-recycle nitrile gloves, the Boston Water usage at our manufacturing and 30 decrease in Scientific team in Dorado diverted 12,385 pounds of gloves from local landfills and won major distribution centers is predominantly water consumption* Greenovation honors for the second year in a row. In Maple Grove, our employees associated with headcount; only 25 percent collected enough nontraditional waste — gloves as well as single-use garments, hoods of our consumption is associated with and boot covers — to divert 35,500 pounds of waste from landfills, winning Greenovation production processes. Even with a % recognition for the fifth consecutive year. 12.5 percent increase in headcount in 80 of total 2019, we consumed marginally less solid waste recycled The Greenovation awards were established in 2013 and renamed in 2015 in honor of water than in 2018. Over the past 10 years, Chelsea Santucci, a former Kimberly-Clark Professional employee who was instrumental we have reduced water consumption in creating the RightCycle program before dying of cancer at age 26. by 30 percent. % 95 of solid waste Ariel Gonzalez, Boston Scientific EHS manager in Dorado, Puerto Rico, receiving the Greenovation Award from Daniel Perez, Kimberly-Clark representative. diverted from landfills

*Compared to 2009 baseline

Boston Scientific 2019 Performance Report 49 Feature Patient A Message to Financial Our Mission Boston Scientific Boston Scientific Corporate Social Our Patients Our People Our Planet Our Practices Non-GAAP Highlight Our Stockholders Highlights and Core Values at a Glance by the Numbers Responsibility Reconciliations

Green Team Environmental Keeping Our Planet Clean Sustainability Initiatives In 2019, Boston Scientific employees volunteered their time to support efforts to preserve beaches and habitats and protect local ecosystems. Boston Scientific Green Team initiatives Green Teams also developed environmental education campaigns and introduced additional green practices within the company. are inspired and led by employees across the globe. Every year, they organize and implement projects focused on reducing the company’s environmental footprint and improving the communities where our people live and work. Their efforts help to strengthen our business practices while raising environmental awareness and supporting local partners dedicated to caring for our planet.

Our Green Teams continued to embrace Environmental Wins in Minnesota Cork Green Team Takes to the Shores Clean and Green in Valencia sustainability in 2019. In Kerkrade, A newly organized Green Team in With the 2019 motto “Our Planet, Our The Boston Scientific Green Team in Netherlands, employees collected plastic Minnetonka, Minnesota made its mark Waters,” the Cork, Ireland Green Team Valencia, California devoted their time lids and donated the recycling refunds to with a series of projects. They started members focused on making local to support two ambitious ecosystem the Royal Dutch Guide Dog Foundation an onsite volunteer garden, successfully shorelines cleaner and safer. The team initiatives. In Santa Clarita, they joined (KNGF Geleidehonden). Milan, Italy implemented a campaign to eliminate partnered with the Cork Water Harbour the volunteer ranks of the 10th annual employees organized an initiative to onsite disposable cup use and held a Keepers to offer an employee education Earth Arbor Day tree-planting crews, eliminate complimentary water bottles first annual “Ecolympics” to educate program about the environmental impact taking shovels to the ground at the city’s from workplace common areas. Similarly, employees about the environment. In of single-use plastics, then organized Central Park to plant 10 eight-foot trees. we eliminated water bottles in meeting May, the team completed a utility-funded volunteers for two local cleanup events. In Santa Monica, the Valencia Green rooms and kitchens in all of our Latin energy audit that resulted in an initial At the Blackrock Shoreline Clean in June, Team worked alongside more than 13,500 America sales offices. The Warsaw, Poland 5 percent reduction in electricity use and they picked up litter along a stretch of volunteers for the 35th annual Coastal Green Team led an effort to install water 17 percent decrease in natural gas use. shore especially popular with walkers Cleanup Day, an effort that diverted dispensers for employees and organized The Minnesota Safety Council recognized and runners. In August, at Carrigrenan 30,165 pounds of waste from the aquatic a World Environment Day that included the team’s efforts with a Meritorious beach in Little Island — where water ecosystems of oceans and waterways. a cleanup day at a local park. Achievement Award. pollution can make swimming unsafe — they turned out with family and friends to clear the high volume of waste washed ashore.

Boston Scientific 2019 Performance Report 50 Feature Patient A Message to Financial Our Mission Boston Scientific Boston Scientific Corporate Social Our Patients Our People Our Planet Our Practices Non-GAAP Highlight Our Stockholders Highlights and Core Values at a Glance by the Numbers Responsibility Reconciliations

Our Practices

52 Compliance, Ethics and Integrity

55 Developing Innovative Products

57 Innovation Initiatives

58 Quality and Safety

61 Sustainable Supply Chain

62 Responsible Marketing

62 Customer Relationship Management

63 Packaging and Labeling

64 Supporting Small Business and Supplier Diversity

Every day, Boston Scientific is... Boston Scientific employees help inspire the next generation of innovators through the committing to responsible practices. Little Doctors program in Guangzhou, China.

Boston Scientific 2019 Performance Report 51 Feature Patient A Message to Financial Our Mission Boston Scientific Boston Scientific Corporate Social Our Patients Our People Our Planet Our Practices Non-GAAP Highlight Our Stockholders Highlights and Core Values at a Glance by the Numbers Responsibility Reconciliations

Our Practices

Our business practices support and Code of Conduct for Employees Code of Conduct Changes ensure our company’s worldwide focus and Channel Partners on quality, safety and sustainability as Every Boston Scientific employee is The 2020 update of our Code of Conduct includes: we deliver meaningful innovations that required to read and understand our New language about CSR — what it means for us at Boston Scientific and our make a difference in patients' lives. We Code of Conduct, which is the foundation responsibility as a global citizen operate with a culture of integrity; we for all of our business practices and Greater specificity about respecting patient, customer and employee privacy and believe in strong corporate governance; relationships. Employees also complete additional explanations about ethical and legal requirements and we insist on impeccable ethics and multiple mandatory training curriculums regulatory compliance. that explain company policies and New language about the importance of maintaining a safe and healthy work corruption- and compliance-related risks environment and what that means in practice Compliance, Ethics and Integrity and point them to resources where they Additional emphasis on data privacy and protecting confidential company Boston Scientific employees have a shared can report concerns. Our training offers information commitment to: scenario-based content to help prepare Act honestly and ethically in all company people to respond ethically to issues that Expanded information on conflicts of interest and potential conflicts that must be matters may arise in their daily work. disclosed Protect the privacy of patients, customers and employees The global marketplace in which we Treat one another with respect and compete is advancing rapidly, and Our compliance training is comprehensive. Additional global ethics initiatives fairness our workforces in many countries are It includes customer interactions training include sexual harassment training for Hold one another accountable to ensure continually adapting to new developments to provide guidance on the laws, policies all our salesforce managers as well as quality in all that we do in technology, public policies and the and processes for working with licensed training for our Human Resources team environment. In a world of constant change, healthcare professionals in the U.S. The on local and national laws that govern Our Global Compliance team provides it’s increasingly important that we provide curriculum also includes anti-corruption employment compensation, sexual employees with the resources and training our people with clear guidance about how training that explains compliance require- harassment and discrimination. they need to do business with integrity, to handle ethical challenges. In 2019, we ments for interacting with healthcare treat customers and suppliers fairly, and completed a year-long effort to update professionals, public officials and other report ethics concerns when they arise. the Boston Scientific Code of Conduct. third parties, including channel partners Led by our Chief Compliance Officer, the Changes range from additional language (e.g., distributors, dealers and agents) team collaborates across the company to about our Corporate Social Responsibility outside the U.S. monitor our activities and performance. (CSR) commitment to expanded provisions The Chief Compliance Officer reports on conflicts of interest and patient and quarterly to the Audit Committee of our data privacy. The updated Code of Conduct Board of Directors and more frequently went into effect on January 1, 2020. It is as needed. available online in 21 languages.

Boston Scientific 2019 Performance Report 52 Feature Patient A Message to Financial Our Mission Boston Scientific Boston Scientific Corporate Social Our Patients Our People Our Planet Our Practices Non-GAAP Highlight Our Stockholders Highlights and Core Values at a Glance by the Numbers Responsibility Reconciliations

The Boston Scientific Channel Partner Compliance Program In 2019, we expanded efforts to promote Code of Conduct details our expectations Strong alignment with the Boston Scientific our Advice Line through an internal for channel partners doing business on Code of Conduct requires a shared sense campaign (see side bar). The toll-free our behalf. All channel partners complete of integrity among employees throughout service is operated by a third party and mandatory onboarding training as well as the company. We have a comprehensive is available 24 hours a day, seven days annual ethics training in which they pledge compliance program to prevent, detect a week, in multiple languages. to adhere to our Code of Conduct. They and respond to any conduct or situation are also required to abide by national that does not fully conform with the Code Our Non-Retaliation Policy is an essential anti-bribery and anti-corruption laws, such of Conduct. component of our Compliance Program. as the U.S. Foreign Corrupt Practices Act It prohibits any form of retaliation, direct and the U.K. Bribery Act. Our third-party Advice Line or indirect, against an individual who raises program to monitor and support channel As stated in the Boston Scientific Code of a concern in good faith. This protection partners includes onsite auditing and other Conduct, all employees are responsible extends to anyone who assists with, or “ Our caring value reminds procedures that verify their compliance for immediately reporting any suspected cooperates in, an investigation or report with our requirements. violation of the code or company policy. of misconduct. us to uphold the Boston Scientific mission in a way Governance that is fair and considerate New Communications Initiatives The Boston Scientific Board of Directors and Executive Committee oversee all to everyone. This includes We launched new global employee aspects of our role as a corporate citizen. communications initiatives in 2019 to These leaders and directors play a critical treating our customers, increase transparency and expand aware- part in implementing guidelines to ensure colleagues and competitors ness of our compliance activities and we act ethically in our business practices, resources. Our global Boston Scientific comply with all tax and business laws with respect. It also means newsletter includes an “Integrity Corner” and regulations, and remain transparent always acting with integrity segment that features real-world in our reporting. examples of ethical challenges, describes and ensuring our business what happens when an ethics concern is The Board maintains charters for its decisions and relationships reported and an overview of compliance governing committees, which meet activity. We also introduced an “Open regularly to discuss their respective areas embody that integrity.” Doors” campaign to help managers handle ethics issues raised by their direct reports. In of focus. The Board’s committees in 2019 — Desiree Ralls-Morrison, Boston Scientific addition, we conducted an all-employee ethics survey to gauge employees’ understanding were the Audit Committee, Executive Senior Vice President, General Counsel and of — and confidence in — how the company deals with ethical concerns. The results were Compensation and Human Resources Corporate Secretary reported across the company and will inform future compliance efforts. Committee, Finance Committee, and Boston Scientific Chairman and CEO, Mike Mahoney, participating in an integrity awareness Nominating and Governance Committee. event at the Marlborough, Massachusetts global headquarters in 2019.

Boston Scientific 2019 Performance Report 53 Feature Patient A Message to Financial Our Mission Boston Scientific Boston Scientific Corporate Social Our Patients Our People Our Planet Our Practices Non-GAAP Highlight Our Stockholders Highlights and Core Values at a Glance by the Numbers Responsibility Reconciliations

In 2019, our Board and stockholders As warranted, the ERM team, led by our Political Involvement and Contributions In partnership with our global Employee approved and adopted two by-law Chief Audit Officer, communicates with Boston Scientific supports public policies Resource Groups (ERGs), in 2019 we provisions that reflect best practices and the Board and management to discuss that promote diversity and inclusion and developed new measures for assessing input from stockholder engagement. enterprise-level issues that present improve our employees’ lives, the patients PAC contributions to candidates and efforts potential obstacles to preserving and we serve and the communities where that support our core values. As part of Majority Vote Standard in Uncontested growing stockholder value. According to we live. We advocate responsibly and this work, we updated selection criteria Elections: Under this standard, director the company’s escalation framework, any transparently for inclusive policies that to include a candidate’s character and nominees must receive a majority of matter that presents a potential risk to the focus on increasing patient access to integrity. All donations also now include votes to be elected. An increasing company’s financial results, operations or life-changing and life-saving technologies. a letter that emphasizes our company’s number of S&P 500 companies have reputation is reported by management The company shares annual updates on core values, including the importance of adopted this corporate governance best to one or more members of the Board. contributions to political action committees, diversity and inclusion. practice, and our Board believes it will corporate contributions to state officials, enhance accountability to stockholders. Global Security and memberships in associations that Boston Scientific PAC contributions Proxy Access: This new by-law permits Our Global Security and Resilience team engage in public policy advocacy. are bipartisan and based on the stockholders who meet certain ownership provides solutions that promote enterprise following criteria: requirements to include a nominee for resiliency while protecting our people, To promote the advancement of sound Candidate sits on a congressional director election in the company’s annual profitability and operations. The team public policy, the Boston Scientific committee with jurisdiction over issues proxy statement. The Board expects uses a combination of industry-standard Corporation Political Action Committee affecting our business the change will enhance stockholder protocols and global situational awareness (PAC) facilitates voluntary political Candidate serves in elected leadership rights and increase the company’s to manage our security posture and contributions by eligible employees and within Congress or in a position that accountability to stockholders. maintain a Global Security Operations our Board of Directors in accordance shapes public policy Center 24 hours a day, seven days a with federal law. While the PAC supports Enterprise Risk Management week. Efforts to continuously protect our company values, it accepts no Candidate represents a district or state Under the oversight of our Board of and enhance physical security and corporate contributions. The PAC is run with a Boston Scientific facility Directors, the company’s Enterprise Risk cybersecurity are supported by a network by a governing board of senior employees Candidate’s voting record supports key Management (ERM) team supports of partners who specialize in facilities, who represent our primary businesses issues affecting Boston Scientific company leadership with background IT security, environment, health and and functions. The Nominating and and guidance on issues that could safety, global regulation and data privacy. Governance Committee of our Board Candidate’s character and integrity, affect the achievement of performance of Directors annually reviews political including his or her statements and objectives. ERM team members analyze The company’s global security and contributions made by our company positions, do not conflict with the strategic, operational, financial, legal resilience experts also lead a business and the PAC. company’s core values and compliance risks to ensure we can continuity program and resiliency working adapt to challenges, seize opportunities group. To maximize operational resiliency to help patients and deliver on our across global operations, our facilities commitments to stockholders. are prepared to address emergency response, enterprise business continuity and crisis management.

Boston Scientific 2019 Performance Report 54 Feature Patient A Message to Financial Our Mission Boston Scientific Boston Scientific Corporate Social Our Patients Our People Our Planet Our Practices Non-GAAP Highlight Our Stockholders Highlights and Core Values at a Glance by the Numbers Responsibility Reconciliations

Human Rights UN International Bill of Rights Biocompatibility and toxicology play a At Boston Scientific, we believe that pivotal role in medical device development. corporations have a responsibility to Our practices reflect the basic tenet of the International Bill of Human Rights: In 2019, we expanded our Global Biocom- respect and protect human rights. patibility and Toxicology group to advance We support the United Nations (UN) “All human beings are born free and equal in dignity and our product development expertise, International Bill of Rights and its rights. They are endowed with reason and conscience and streamline capabilities and improve our founding principles. The International agility in responding to regulatory changes. Bill of Human Rights consists of: should act towards one another in a spirit of brotherhood.” This expansion will continue in 2020 the Universal Declaration of to reflect ongoing innovations in the Human Rights, company’s product development pipeline. the International Covenant on Developing Innovative Products We have research and development Economic, Social and Cultural Rights, Boston Scientific maintains a steadfast (R&D) sites in the U.S., Puerto Rico, Ensuring that we meet the highest the International Covenant focus on delivering services and solutions European Union, Costa Rica, India and safety standards in all new products and on Civil and Political Rights and to address the healthcare challenges that China. Some of these sites also serve therapies sometimes calls for animal its two Optional Protocols. matter most to patients and customers. as R&D Centers of Excellence with testing in our R&D efforts. When we use We foster creativity and collaboration so specific focus, expertise and capabilities new materials in medical devices, the U.S. We adhere to all applicable labor and our people can continually pursue and that are shared across our global Food and Drug Administration (FDA) may human rights laws, including those develop life-changing innovations. Our development network. require evidence of pre-clinical animal related to slavery, child labor, human teams collaborate inside and outside testing before starting human clinical trials. trafficking, bribery, discrimination, the company to design and champion Pre-Clinical Sciences harassment and pay equity. We require solutions that will make patients’ Boston Scientific conducts extensive Boston Scientific is committed to the that our third-party partners do as well. lives better. pre-clinical research into the safety and humane care and treatment of laboratory efficacy of our medical devices before animals. We use alternative testing when- Our company’s efforts to uphold and Approach progressing to human clinical trials. Our ever such methods are feasible, scientifically protect human rights include support for Our new product development teams pre-clinical research and science policies valid and appropriate. Our pre-clinical the rights of children to have access to follow the Product Life Cycle Process set stringent standards that govern our research personnel are highly trained education, health care and protection from methodology. This global process integrates training practices, product testing and professionals with multiple certifications, criminal behavior. We take the necessary business, technical and quality-system regulatory compliance. and our facilities meet or exceed applicable steps to ensure that forced labor and tasks to support a uniform and transparent laws and regulatory requirements, guide- human trafficking do not take place in development approach company wide. lines and standards. We are routinely our business or supply chains. In addition, The result is a robust capacity for driving audited by internal experts and relevant we adhere to local and national human breakthrough ideas from concept through government agencies, including the FDA, rights laws and regulations, including commercialization to product end-of-life. U.S. Department of Agriculture (USDA) disclosure requirements under the and the Association for Assessment and California Supply Chain Transparency Accreditation of Laboratory Animal Care Act and the U.K. Modern Slavery Act. International (AAALAC).

Boston Scientific 2019 Performance Report 55 Feature Patient A Message to Financial Our Mission Boston Scientific Boston Scientific Corporate Social Our Patients Our People Our Planet Our Practices Non-GAAP Highlight Our Stockholders Highlights and Core Values at a Glance by the Numbers Responsibility Reconciliations

Clinical Trials “ More than 40 years of experience in developing medical devices has shown us that the Scientifically rigorous clinical trials and the data they generate are essential to path to innovation is complex. The collaboration between Mayo Clinic and Boston Scientific document the safe and effective use of supports our shared goal of advancing patient-centered innovation.” our products. An internal Clinical Data Task Force led a 2019 effort to strengthen our — Mike Mahoney, Boston Scientific Chairman and CEO advanced analytics capabilities by adopting unified trial data definitions. We also expanded the information technology infrastructure that supports all clinical trials. With a significant investment in new research tools, we implemented our strategy to meet and exceed European Union Medical Device Regulation (EU MDR) standards. We also made operational enhancements to support EU General Data Protection Regulation (GDPR) compliance and International Organization for Standardization (ISO) excellence.

Also in 2019, we piloted an initiative, called the start-up Center of Excellence (COE), to identify practices used in the earliest Accelerating Innovation Through Meaningful Collaboration stages of successful clinical trials and apply them seamlessly across all trials. The new To solve the toughest healthcare In 2019, the Mayo Clinic and Boston Gianrico Farrugia, MD, president framework will support future trial start-ups challenges, we rely on our ability to Scientific announced a new joint and CEO of Mayo Clinic, and Mike through a centralized COE team of start-up iterate quickly, collaborate and take innovation accelerator called Motion Mahoney, chairman and CEO, Boston experts and proven best practices. informed risks while ensuring that Medical. Located in Rochester, Minnesota, Scientific, at the Motion Medical ribbon quality and patient safety are our Motion Medical focuses on developing cutting ceremony. We conducted 115 active trials primary focus. For nearly a decade, minimally invasive treatments for engineering and clinical teams from conditions that impede quality and in 2019, enrolling nearly Boston Scientific and the Mayo longevity of life. This includes early-stage 5,000 patients globally. Clinic have worked side-by-side medical technologies for interventional to discover and develop new cardiology, heath rhythm management, life-changing solutions. endoscopy, neuromodulation and urology.

Boston Scientific 2019 Performance Report 56 Feature Patient A Message to Financial Our Mission Boston Scientific Boston Scientific Corporate Social Our Patients Our People Our Planet Our Practices Non-GAAP Highlight Our Stockholders Highlights and Core Values at a Glance by the Numbers Responsibility Reconciliations

Innovation Initiatives

Recognize Success Breakthrough Ideas At the 12th annual Boston Scientific Innovation can come from anyone Recognize Success event, we celebrated and anywhere in the company. The Digital Health the collective work of thousands of our annual Boston Scientific ImagineIF In September 2019, Boston Scientific, in partnership with Google, employees. More than 50 leaders and program takes a venture-style approach launched the fifth Connected Patient Challenge. This external their teams were honored for their roles to funding bold ideas from our innovation competition focused on future digital health solutions that in improving quality, patient care and employees. In 2019, the company can manage chronic health conditions. Inventors and entrepreneurs value for the business. funded seven new projects through uploaded their proposals, with a record number of entrants submitting this program, including Artificial new product ideas. The Nutrimedy telenutrition platform won the Develop Excellence Intelligence (AI)-driven algorithms to challenge. BreathResearch received runner-up honors for its mobile Every year, our Recognize Development improve diagnostic processes and a technology to detect the early signs of respiratory attacks. Excellence program identifies and rewards machine-learning model to analyze Boston Scientific cross-functional teams manufacturing and testing patterns. “ The Connected Patient Challenge fosters who work together to develop meaningful Since 2014, ImagineIF has resulted in medical innovations for customers 52 funded projects and more than 20 dialogue and strengthens relationships and patients. patent filings, all above and beyond in the digital health community that will the ongoing work of our research and Idea Portal development teams and planned accelerate the pace of change. The energy We invite original ideas from customers product pipeline projects. of the exchanges will fuel our continued and innovators outside of the company. In 2019, our external Idea Portal received commitment to enhance patient care — more than 80 submissions from physicians and academic institutions worldwide. Two that is the most satisfying outcome of all.” innovators were selected to enter medical — Jodi Euerle Eddy, Boston Scientific Senior Vice President and CIO device exploratory programs.

Boston Scientific 2019 Performance Report 57 Feature Patient A Message to Financial Our Mission Boston Scientific Boston Scientific Corporate Social Our Patients Our People Our Planet Our Practices Non-GAAP Highlight Our Stockholders Highlights and Core Values at a Glance by the Numbers Responsibility Reconciliations

2019 Innovation and Product Awards Digital Health Quality and Safety Advances made by our Digital Health Innovative, high-quality and safe products Edison Awards: The Boston Scientific teams allow us to secure, connect and use that break new ground can make all the LithoVue Empower™ Retrieval data in new ways to benefit patients and difference in patient outcomes. We Deployment Device won silver, and customers through predictive analytics continually strive to exceed expectations the AXIOS™ Stent and Electrocautery and tools for care coordination. One with customer-centric, quality solutions Enhanced Delivery System earned example of this work is the AI behind that transform patient lives. bronze for Best New Products in the our HeartLogic™ Heart Failure Diagnostic. Medical Field category. The first and only diagnostic of its kind, Our global quality and safety efforts are HeartLogic can predict worsening heart supported by: Shingo Prize: Our Coyol, Costa Rica failure events weeks before they happen, Quality Systems training for all employees facility received the 2019 Shingo Prize giving physicians critical time to act. for operational excellence and We also made new progress in pain A Quality master plan that prioritizes demonstrating a commitment to management through our partnership quality improvement projects, leading continuous improvement. with IBM Research, using patient data to higher quality products and better to develop an objective measure for patient outcomes Top 100 Global Innovator: Boston pain that we hope will lead to highly “This is the true promise Our global Quality system that integrates Scientific was honored by Derwent as personalized therapies. customer feedback and regulatory a Top 100 Global Innovator for the of digital health: a future requirements into our processes third consecutive year. Our digital health offerings also include in which connected smart

safe and secure methodologies for devices, the Internet of The Boston Scientific Best4 strategy MDEA (Medical Design Excellence Awards): smarter management of patient data. (see next page) for delivering industry- Our LithoVue Empower™ Retrieval We developed the Boston Scientific Things and predictive digital leading performance Deployment Device won silver for MyLATITUDE™ app so patients with diagnostics come together Gastrointestinal and Genitourinary subcutaneous implantable defibrillators Our commitment to quality begins Devices; the Eluvia™ Drug-Eluting (S-ICD) can easily monitor their heart to drive better, faster with the one-line Quality Policy that Vascular Stent earned bronze in the data on personal mobile devices. We actions for providers and is highly visible in our facilities: Drug-Delivery and Combination have also equipped healthcare providers Products category. with tools and applications to help them patients alike. Stay tuned… “ I improve the quality optimize their care processes by quickly the future is nearer than and securely integrating their data. of patient care and all you think.” things Boston Scientific.” — David Feygin, Boston Scientific Chief Digital Health Officer

Boston Scientific 2019 Performance Report 58 Feature Patient A Message to Financial Our Mission Boston Scientific Boston Scientific Corporate Social Our Patients Our People Our Planet Our Practices Non-GAAP Highlight Our Stockholders Highlights and Core Values at a Glance by the Numbers Responsibility Reconciliations

Best4 Strategy Best4 underpins every Boston Best Culture: Together, we sustain a culture that makes the Quality Policy real for every “Our Best4 Scientific process, including product employee. We reinforce the importance of everyone’s role in improving patient lives, and we sustain a diverse, winning quality team that lives our core values. Strategy development. ensures Best Agility: We add value by reducing complexity, removing obstacles and adapting to changing business needs. This means having intentional simplicity in our systems as well patient as lean practices and the right technology for process efficiency. safety is Best Performance: For our teams, best performance means developing and making the always best products, services and solutions for patients and customers. Quality by Design and our top Continuous Improvement are core foundations of this work. priority.” Best Compliance: We follow and comply with global laws and regulations with one global — Roz Burke, Boston Scientific Senior Vice Quality System. This work includes ongoing risk mitigation and an effective transition to President, Global Quality and Regulatory the EU MDR.

Our teams rely on a global design controls The quality materials we use are vital to our Operational strategy process, risk assessment and usability manufacturing decisions as we develop How we execute our work Our Quality Policy is complemented by engineering to create safe and effective safe and effective products. Teams across Our pursuit of continuous improvement our Quality Mission, which states: solutions from new technologies. At every the company carefully assess component How we measure performance stage of development, we are focused and device materials and consider a range Recognition and engagement “ We exceed expectations on the unmet needs of patients who will of factors, from efficiency and availability with customer-centric benefit from our products. For example, to worldwide medical and environmental Every manufacturing site across the employees are encouraged to spend requirements and regulations. business develops its own customized quality solutions that time in the field, observing procedures SQP to support the facility’s focus and transform patient lives.” and talking with patients and Strategic Quality Process (SQP) performance objectives. The cohesion healthcare providers. Our manufacturing process requirements of quality within our culture is reinforced reflect the Boston Scientific Corporation by consistent, direct linkages between Quality Policy and our SQP, which evolves individual site SQPs and our overarching year-over-year, and encompasses: corporate SQP.

Boston Scientific 2019 Performance Report 59 Feature Patient A Message to Financial Our Mission Boston Scientific Boston Scientific Corporate Social Our Patients Our People Our Planet Our Practices Non-GAAP Highlight Our Stockholders Highlights and Core Values at a Glance by the Numbers Responsibility Reconciliations

Our Latest Quality Initiatives Cultivating Quality in Our Culture with Everyone Makes an Impact Events We take on targeted quality and compliance projects every year Our annual Everyone Makes an Impact events take place at Boston Scientific sites with a focus on continuous around the world. These onsite employee gatherings bring our quality policy to life improvement. Highlights of our through the stories and experiences of patients who have benefited from our devices. 2019 accomplishments include:

Implementing a global usability, risk management and design-controls process to harmonize best practices for product design and performance

Completing work to prepare our Quality System for meeting new EU MDR requirements

Further supporting acquisition integration activities with the launch of an online Quality and Operations Acquisition Integration Roadmap Indira Quirós: In Heredia, Costa Rica, Indira talked with our team Meho Temim: After being diagnosed with Sick sinus syndrome,2 1 Strengthening our medical device about how she suffered from Wolff-Parkinson-White syndrome, a group of heart rhythm problems in which the heart’s natural cybersecurity protocols in accordance a rare congenital heart disorder involving an extra electrical pacemaker does not work properly, Meho was implanted with a with FDA guidance pathway that results in abnormal heartbeat, with symptoms Boston Scientific Accolade™ MRI EL pacemaker. For this dedicated including tachyarrhythmia that could result in sudden death. member of our Electrophysiology development team in Arden Hills, Investing in additional improvements She underwent a procedure that used three devices made by Minnesota, the successful treatment hit close to home. “It’s a nice in Post-Market Quality Assurance that our Heredia team. Indira’s heart surgeons used the Dynamic XT™ feeling to know you have a device that you can count on,” he told further enhance our Post-Market and VIKING™ catheters to diagnose her condition, then implanted his colleagues at our 2019 event in Minnesota. “My coworkers and Surveillance capabilities the BLAZER™ II catheter to treat her cardiac ablation. She traveled I built my pacemaker with the highest quality standards in the from Nicaragua to meet the 140 employees who worked together world, and I’m proud of that.” on the devices that dramatically improved her prognosis and quality of life. Indira has resumed her regular activities and is Meho being interviewed at the Arden Hills, Minnesota Everyone enjoying a healthy, active life with her two children. Makes an Impact event by David Thompson, Boston Scientific Vice President, Clinical Solutions, Cardiac Rhythm Management. Indira posing with the 140 Boston Scientific employees who worked on the devices used in her diagnosis and treatment.

1 "Wolff Parkinson White Syndrome." Rare Disease Database. 2 "Sick sinus syndrome." Mayo Clinic. https://rarediseases.org/rare-disease/wolff-parkinson-white-syndrome/ https://www.mayoclinic.org/diseases-conditions/sick-sinus-syndrome/symptoms-cause/syc-20377554

Boston Scientific 2019 Performance Report 60 Feature Patient A Message to Financial Our Mission Boston Scientific Boston Scientific Corporate Social Our Patients Our People Our Planet Our Practices Non-GAAP Highlight Our Stockholders Highlights and Core Values at a Glance by the Numbers Responsibility Reconciliations

Sustainable Supply Chain To maintain the highest-quality component Setting Industry Standards FDA Case for Quality: As a participant Our manufacturing and supply chain supply, we take a rigorous risk manage- Boston Scientific collaborates with trade in the FDA Case for Quality Voluntary teams lead the company’s efforts to plan, ment approach as we select supply chain associations and regulatory bodies around Improvement Program (VIP), five Boston source, manufacture and distribute more partners. Our sourcing team assesses the world to set new standards in quality Scientific manufacturing sites have than 15,000 products with the potential risk to ensure that long-term suppliers and remain informed and agile about new undergone quality system maturity to improve or save lives. In this work, share our quality standards and customer and changing regulatory requirements. appraisals to drive continuous improve- we collaborate with leading suppliers to focus as well as our values. The logistics We make it a priority to help influence ment and organizational excellence. provide a reliable supply of high-quality experts on our supply chain team facilitate industry and regulatory approaches to Significant benefits of the program products to customers and patients in all planning across divisions and regions as quality as we share the best practices include expedited manufacturing regions globally. We use a strategic quality they monitor progress and adapt to meet behind our patient-focused systems. change approvals and a streamlined evolving customer and patient needs. FDA inspection schedule. process to prioritize, execute and monitor FDA Digital Health: Through the FDA our manufacturing and supply chain. Digital Health Precertification Program, Measuring and Monitoring Quality and Boston Scientific completed a 2019 Compliance Effectiveness assessment that confirmed the high We regularly conduct internal audits quality of our Digital Health product to verify that our Global Quality System development process. As a result, conforms to internal and external require- we now have access to program ments and is effectively implemented benefits such as expedited regulatory and maintained. As we plan and execute approval pathways for new and our internal audits, we conduct follow-up innovative devices. activities, including re-auditing prior Industry Leadership: In 2019, we observations and verifying actions taken. continued to identify and prioritize opportunities to expand the leadership External regulatory agencies also review and influence of Boston Scientific in our performance to ensure quality and priority areas. These include medical compliance, with the following results device user fee negotiations, regulatory in 2019: submission initiatives such as the FDA External regulatory inspections* 87 Safer Technologies Program (STeP), Percent external regulatory and collaborative efforts such as the inspections resulting in no findings* 79% National Evaluation System for health Average findings per external Technology (NEST). regulatory Inspection* 0.35 Average findings per FDA inspection 0

* Includes Notified Body, Competent Authority, FDA

Boston Scientific 2019 Performance Report 61 Feature Patient A Message to Financial Our Mission Boston Scientific Boston Scientific Corporate Social Our Patients Our People Our Planet Our Practices Non-GAAP Highlight Our Stockholders Highlights and Core Values at a Glance by the Numbers Responsibility Reconciliations

Product Performance Responsible Marketing Boston Scientific reviews customer Our company has a firm commitment feedback and monitors their experiences to ethical and responsible marketing with our devices. This information provides and promotion throughout the business. valuable inputs for our Quality system Our Code of Conduct and all other related as well as future product iterations and employee policies emphasize the impor- innovations. We follow our Corrective tance of fair and honest communications and Preventative Action process to collect with patients and customers. and analyze data that can help identify root causes for potential quality and compliance issues. Our teams are then In 2019, we spent nearly able to address potential problems and $1 million on company-wide prevent future issues or recurrences. We initiate field actions (product advisories, programs that provided product advisory updates, product almost 13,000 hours of retrievals), including follow-up and closure, to ensure that regulatory or training for customer-facing field safety issues are resolved quickly employees on a range of and effectively. integrity topics. In 2019, Boston Scientific The curriculum for these sessions included Customer Relationship Management In March 2019, the Boston Scientific identifying and avoiding conflicts of Our achievements are rooted in a deep Customer Service organization was had zero Class I recalls and interest, respecting intellectual commitment to helping healthcare honored with the Customer Relationship zero open FDA warning property, fair and honest marketing providers meet patient needs. The Management Institute LLC (CRMI) practices and appropriate interactions Boston Scientific Customer Relationship NorthFace ScoreBoard Award (NFSB) letters. with physicians and government officials. Management (CRM) team takes the lead for achieving excellence in customer in our work to monitor and learn from service in the “Overall” and “Customer customer satisfaction feedback. Metrics Service” categories. from our customer surveys provide crucial information on what we are doing well and where we need to make improvements to better serve our customers. Our industry- leading CRM practices in the United States are now expanding to other regions across the globe.

Boston Scientific 2019 Performance Report 62 Feature Patient A Message to Financial Our Mission and Boston Scientific Boston Scientific Corporate Social Our Patients Our People Our Planet Our Practices Non-GAAP Highlight Our Stockholders Highlights Core Values at a Glance by the Numbers Responsibility Reconciliations

Packaging and Labeling We continually assess our labeling “We are delighted to have Packaging practices at Boston Scientific processes for new ways to meet Boston Scientific join our reflect our obligation to protect medical customer needs while also reducing our devices during sterilization, distribution, environmental footprint. In parallel with efforts. As an industry storage and use. We collaborate with a focus on sustainability, Boston leader, Boston Scientific our customers and conduct usability Scientific has controls in place to verify assessments to ensure we are meeting that our product labeling meets global has a passion for solving their needs and requirements. labeling regulations and comprehensive internal quality standards. the challenges that matter As the business makes advances with most. The company is sustainability, a global Sustainability In 2019, Boston Scientific was proud to motivated by a deep caring Packaging and Labeling Steering join the Healthcare Plastics Recycling Committee confers with the Boston Council (HPRC), a consortium of industry for human life and a strong Scientific CSR Council to develop our leaders dedicated to boosting plastics sense of corporate and packaging strategy and goals. Our recycling efforts in clinical settings. Asa packaging and supply chain practices member of the HPRC, Boston Scientific environmental include optimizing design, reducing shares innovations and collaborates with responsibility.” waste and limiting emissions from peer companies to support increased Material Reduction and shipping. In addition, our packaging use of recycled material, remove barriers — Peylina Chu, Director of the Environmental Stewardship teams use case studies to communicate to waste reduction and educate the Healthcare Plastics Recycling One of the largest Boston Scientific key packaging objectives and further market about sustainability. Council (HPRC) distribution centers achieved significant engage our people as they document wins in material reduction and environ- and share successful practices. In 2019 Snapshot mental stewardship in 2019. The team 2019, we expanded the company’s in Quincy, Massachusetts conducted sustainability case study portfolio by Approximately 140 tons of packaging a review of internal processes and more than 50 percent from 2018. waste diverted from landfills identified avoidable product waste 3,560 pallet shipments avoided associated with customer-applied labels. By implementing more specific 14,500 acres of forest projected to be instructions and visual aids, the facility saved from CO2 emissions prevented 11.18 tons of packaging 750 products repurposed during waste from reaching landfills. development

Boston Scientific 2019 Performance Report 63 Feature Patient A Message to Financial Our Mission Boston Scientific Boston Scientific Corporate Social Our Patients Our People Our Planet Our Practices Non-GAAP Highlight Our Stockholders Highlights and Core Values at a Glance by the Numbers Responsibility Reconciliations

Supporting Small Business From sourcing manufacturing materials In 2019, we spent $755 Our Responsible Supplier Standards and Supplier Diversity to managing the distribution of Boston million with diverse Quality is the most important aspect of Meeting the needs of more than 30 million Scientific products to more than 120 our supplier relationships. Our more than patients each year requires a wide variety countries, these partners work with us suppliers, an 18% increase 27,000 suppliers throughout the world of perspectives. Diverse vendors and to ensure that our products are in the from 2018. meet a robust set of standards. The suppliers bring new and innovative ideas right place at the right time to improve company actively seeks supply chain to our business. These professionals allow patient lives. partners who will consistently deliver In 2020, we are aiming to increase this us to approach challenges from different industry-leading quality, reliability and spend by 7 percent. We also conducted angles, collaborate more constructively and We use an inclusive procurement process value. more than 200 capability assessments better serve customers and their patients. that involves close collaboration with our with diverse vendors. This focus on diversity and inclusion Diversity and Inclusion team, input from All direct materials suppliers for Boston extends throughout our supply chain. our CSR Council and input from employee Scientific are required to comply with resource groups. strict quality requirements. We agree to In 2019, we worked with more than 4,600 partnerships only with companies that diverse suppliers in the United States, share our commitment to ethical conduct including businesses that are: “ I was born and raised in and that are in full compliance with all Minority-owned South Africa, and the applicable laws and regulations. To identify Women-owned these businesses, we use a standardized Small or disadvantaged importance of diversity has supplier performance assessment tool Veteran-owned always been apparent to with criteria ranging from CSR practices Service-disabled, veteran-owned to strategic business processes. Our LGBTQ-owned me in every facet of my life. mandatory evaluation protocol allows Disability-owned Watching the devastating us to build relationships with responsible and high-performing suppliers that effects of discrimination has make significant contributions to our work. left me with a passion to obliterate this injustice in any way within my power and influence. Every person should be aware of the direct impact they can make by choosing to support small and diverse vendors in their personal and professional lives.” — Saken Khokhar, Manager, Boston Scientific Supplier Diversity

Boston Scientific 2019 Performance Report 64 Feature Patient A Message to Financial Our Mission Boston Scientific Boston Scientific Corporate Social Our Patients Our People Our Planet Our Practices Non-GAAP Highlight Our Stockholders Highlights and Core Values at a Glance by the Numbers Responsibility Reconciliations

This Performance Report contains forward-looking statements within the meaning of the federal securities laws. See the discussion under “Safe Harbor for Forward-Looking Statements” in the Annual Report on Form 10-K for the year ended December 31, 2019, for matters to be considered in this regard. In addition, please see our Annual Report on Form 10-K for a description of our Non-GAAP adjustments and the reasons for excluding each item.

Year Ended December 31, Total BSC Revenue Growth 2019 2018 2017 2016 2015 5-Year Average Percentage change in net sales, as reported 9.3 % 8.6 % 7.9 % 12 % 1 % 8 % Less: Impact of foreign currency fluctuations (1.8)% 0.6 % 0.1 % —% (7)% (1)% Percentage change in net sales, operational 11.1 % 8.0 % 7.8 % 12 % 8 % 9 % Less: Impact of certain acquisitions and divestitures 3.8 % 0.8 % 1.2 % 2 % 3 % 2 % Percentage change in net sales, organic 7.3 % 7.2 % 6.6 % 10 % 5 % 7 %

Year Ended December 31, 2019

Rhythm Percentage Change in Net Sales of Reportable Segments MedSurg and Neuro Cardiovascular Percentage change in net sales, reported 10.0 % 3.3 % 11.4 % Less: Impact of foreign currency fluctuations (1.5)% (1.6)% (2.1)% Percentage change in net sales, operational 11.5 % 4.9 % 13.5 % Less: Impact of certain acquisitions and divestitures 2.7 % 1.6 % 4.2 % Percentage change in net sales, organic 8.8 % 3.3 % 9.3 %

Year Ended December 31, Operating Margin 2019 2018 2017 2016 2015 Operating margin, reported 14.1 % 15.3 % 14.2 % 5.3 % (3.8)% Less: Non-GAAP adjustments (12.0)% (10.2)% (10.8)% (18.8)% (26.1)% Operating margin, adjusted 26.1 % 25.5 % 25.0 % 24.1 % 22.3 %

Basis Point Improvement from 2018 60 Basis Point Improvement from 2015 380

Percentages are calculated using unrounded numbers and may not calculate precisely due to rounding. Amounts may not add due to rounding. Boston Scientific 2019 Performance Report 65 Feature Patient A Message to Financial Our Mission Boston Scientific Boston Scientific Corporate Social Our Patients Our People Our Planet Our Practices Non-GAAP Highlight Our Stockholders Highlights and Core Values at a Glance by the Numbers Responsibility Reconciliations

Year Ended December 31, 2019 Less: Impact Less: Impact of of Recent Reported Foreign Currency Operational Acquisitions/ Organic Percentage Change in Net Sales of Reportable Segments Basis Fluctuations Basis Divestitures Basis Endoscopy 7.5 % (1.7)% 9.2% 0.0% 9.2% Urology and Pelvic Health 13.4 % (1.3)% 14.7% 6.3% 8.4% MedSurg 10.0 % (1.5)% 11.5% 2.7% 8.8% Cardiac Rhythm Management (0.6)% (1.8)% 1.2% 0.0% 1.2% Electrophysiology 5.5 % (2.0)% 7.5% 0.0% 7.5% Neuromodulation 12.0 % (1.1)% 13.1% 6.3% 6.8% Rhythm and Neuro 3.3 % (1.6)% 4.9% 1.6% 3.3% Interventional Cardiology 8.7 % (2.3)% 11.0% 1.0% 10.0% Peripheral Interventions 17.3 % (1.8)% 19.1% 11.3% 7.8% Cardiovascular 11.4 % (2.1)% 13.5% 4.2% 9.3%

Year Ended December 31, 2019 Less: Impact of Reported Foreign Currency Operational Percentage Change in Net Sales by Region Basis Fluctuations Basis U.S. 10.1% — % 10.1% EMEA (Europe, Middle East and Africa) 4.0% (5.4)% 9.4% APAC (Asia-Pacific) 9.9% (2.4)% 12.3% LACA (Latin America and Canada) 3.3% (4.0)% 7.3% Medical Devices5 8.5% (1.7)% 10.2% Specialty Pharmaceuticals8 n/a n/a n/a Net Sales 9.3% (1.8)% 11.1%

Emerging Markets7 14.1% (5.4)% 19.5%

5 We have three reportable segments comprised of Medical Surgical (MedSurg), Rhythm and Neuro, and Cardiovascular, which represent an aggregation of our operating segments that generate revenues from the sale of medical devices (Medical Devices). We have included BTG’s Interventional Medicine business in our Peripheral Interventions operating segment’s 2019 revenues from the date of acquisition. 7 We define Emerging Markets as the 20 countries that we believe have strong growth potential based on their economic conditions, healthcare sectors and our global capabilities. Periodically, we assess our list of Emerging Markets; effective January 1, 2019, we updated our list of Emerg- ing Market countries. We have revised prior year amounts to the current year’s presentation. The revision had an immaterial impact on prior year Emerging Markets sales. 8 As part of our acquisition of BTG, we acquired a specialty pharmaceuticals business (Specialty Pharmaceuticals). Subsequent to acquisition, Specialty Pharmaceuticals is now a stand-alone operating segment presented alongside our Medical Device reportable segments.

Percentages are calculated using unrounded numbers and may not calculate precisely due to rounding. Amounts may not add due to rounding. Boston Scientific 2019 Performance Report 66 Feature Patient A Message to Financial Our Mission Boston Scientific Boston Scientific Corporate Social Our Patients Our People Our Planet Our Practices Non-GAAP Highlight Our Stockholders Highlights and Core Values at a Glance by the Numbers Responsibility Reconciliations

Year Ended December 31, Earnings Per Share 2019 2018 2017 2016 2015 2014 GAAP net income (loss) per share $ 3.33 $ 1.19 $0.08 $0.25 $(0.18) $(0.09) Amortization expense 0.44 0.37 0.35 0.35 0.33a 0.29b Intangible asset impairment charges 0.07 0.02 — 0.01 0.01a 0.12b Acquisition/divestiture-related net charges (credits) 0.48 — 0.01 0.09 0.17a (0.03)b Restructuring and restructuring-related net charges 0.05 0.05 0.05 0.04 0.05a 0.07b Litigation-related net charges (credits) 0.05 0.06 0.12 0.37 0.52a 0.49b Investment impairment charges — — 0.03 — — — EU MDR implementation charges — — — — — — Debt extinguishment net charges (credits) 0.05 — — — 0.02a — Deferred tax expenses (benefits) (2.91) — — — — — Discrete tax items 0.01 (0.23) 0.62 — (0.01)a (0.01)b Pension termination charges — — — — 0.02a — Adjusted net income (loss) per share $ 1.58 $ 1.47 $ 1.26 $ 1.11 $ 0.93 $ 0.84 Less: Impact of 2018 net tax benefit3 — 0.07 — Adjusted net income (loss) per share, excluding 2018 net tax benefit $ 1.58 $ 1.40 $ 1.26 Adjusted EPS growth from prior year 8% 17% 13% 20% 11% 15% Adjusted EPS growth from prior year, excluding 2018 net tax benefit 13% 11% a Assumes dilution of 21.5 million shares for the year ended December 31, 2015. b Assumes dilution of 23.7 million shares for the 5-Year Average Adjusted EPS growth 14% year ended December 31, 2014. 3 Full year 2018 adjusted earnings per share was $1.47, which includes a $0.07 net tax benefit for the year. Excluding this net tax benefit of $0.07, our 2018 adjusted earnings per share grew 11 percent. 2019 adjusted EPS growth including the aforementioned 2018 net tax benefit is 8 percent and normalized for the 2018 net tax benefit is 13 percent. Full year 2018 net tax benefit of $0.07 includes our second quarter $0.06 benefit from settling the IRS Stipulation of Settled Issues for the Adjusted Free Cash Flow (in millions) 2019 2018 2001 through 2010 tax years, offset by a fourth quarter $0.05 charge for our tax reinvestment strategy. In addition, the net benefit includes a $0.06 benefit in the fourth quarter for the settlement with the IRS of our 2011 through 2013 tax years. Operating cash flow, reported $1,836 $ 310 Less: Purchases of property, plant and equipment 461 316 Add: Proceeds on disposals of property, plant and equipment 7 14 Free Cash Flow 1,382 8 Plus: Restructuring and restructuring-related payments 66 89 Plus: Acquisition-related payments 266 205 Plus: EU medical device regulation payments 4 — Plus: Special Tax Payments (Refunds/Credits) (42) 977 Plus: Litigation-related Settlements 330 791 Adjusted free cash flow $2,007 $2,070

YoY Growth (3)%

Percentages are calculated using unrounded numbers and may not calculate precisely due to rounding. Amounts may not add due to rounding. Boston Scientific 2019 Performance Report 67 Boston Scientific Corporation 300 Boston Scientific Way Marlborough, MA 01752-1234 © 2020 Boston Scientific Corporation or its affiliates. All rights reserved. PR2019 bostonscientific.com