Valeant Pharmaceutical International, Inc. 2016 J.P. Morgan Healthcare Conference

January 13, 2016

Howard Schiller

Interim CEO

Dr. Ari Kellen EVP, Company Group Chairman

Robert Rosiello

EVP, Chief Financial Officer

1

Forward-Looking Statements

Certain statements made in this presentation may constitute forward-looking statements, including, but not limited to, statements regarding the

expected future performance of Valeant Pharmaceuticals International, Inc. (the “Company”), including 2016 forecast revenues and guidance

with respect to revenue, adjusted EPS, adjusted cash flow from operations and adjusted EBITDA, potential exclusivity risk to certain of the

Company’s products, anticipated product approvals and product launches of the Company’s pipeline products, the Company’s abil ity to

reduce leverage, the anticipated launch date of the Valeant Access Program with Walgreens and the expected impact of such program, and

the Company’s short-term priorities and ability to achieve such priorities. Forward-looking statements may be identified by the use of the words

“anticipates,” “expects,” “intends,” “plans,” “could,” “should,” “would,” “may,” “will,” “believes,” “estimates,” “seeks,” “potential,” or “continue”

and variations or similar expressions. These statements are based upon the current expectations and beliefs of management, and depend on

assumptions, data or methods that may be incorrect or imprecise and are subject to certain risks and uncertainties that could cause actual

results to differ materially from those described in the forward-looking statements. These risks and uncertainties include, but are not limited to, risks

and uncertainties discussed in the Company's most recent annual or quarterly report filed with the Securities and Exchange Commission ("SEC")

and other risks and uncertainties detailed from time to time in the Company's filings with the SEC and the Canadian Securities Administrators

("CSA"), which factors are incorporated herein by reference. Readers are cautioned not to place undue reliance on any of these forward-looking

statements. The Company undertakes no obligation to update any of these forward-looking statements to reflect events or circumstances after

the date of this presentation or to reflect actual outcomes, except as required by law.

Non-GAAP Information

To supplement the financial measures prepared in accordance with U.S. generally accepted accounting principles (GAAP), the Company uses

the following non-GAAP financial measures: Adjusted EPS and Adjusted Cash Flow from Operations. Reconciliations of these non-GAAP financial

measures to their most directly comparable GAAP financial measure can be found in documents posted on the “Investors” section of the

Valeant.com website. In addition, Adjusted EBITDA is a non-GAAP financial measure that will be provided in our earnings materials going forward.

The Company does not provide guidance with respect to GAAP financial measures other than revenues or provide reconciliations to GAAP of its

forward-looking non-GAAP financial measures due to the inherent difficulty in quantifying certain amounts that would be required to be included

in the GAAP measure of earnings per share due to their unknown effect, timing and potential significance. Examples of these items include

impairments of assets, gains and losses from the extinguishment of debt, legal settlements, purchases of in-process research and development

assets, and gains and losses from asset sales.

By disclosing the non-GAAP financial measures referenced above, management intends to provide investors with a meaningful, consistent

comparison of the Company’s baseline operating results and trends for the periods presented by excluding items that are considered by the

Company not to be reflective of the Company’s ongoing results. Management uses all of the above named non-GAAP financial measures

internally for strategic decision making, forecasting future results and evaluating current performance. Non-GAAP financial measures are not

prepared in accordance with GAAP. Therefore, the information is not necessarily comparable to other companies and should be considered as

a supplement to, not a substitute for, or superior to, the corresponding measures calculated in accordance with GAAP.

Forward-looking Statements

Note 1: The guidance in this presentation is only effective as of the date originally given, namely December 16,

2015, and will not be updated or affirmed unless and until the Company publicly announces updated or affirmed

guidance.

Howard Schiller

Interim CEO

January 13, 2016

3

Valeant today

Collection of great healthcare franchises and

brands around the world

Deep bench of talented people

Exciting pipeline of new products

Relentless focus on providing easy and

affordable access for physicians and patients

Remain committed to our strategy with a

relentless focus on execution

4

A collection of great brands in a breadth

of therapeutic areas Valeant 2016 forecast revenues

Total: $12.5 – 12.7 B

~20%

~15%

~10%

~5% ~20%

~20%

~10%

U.S. Gastrointestinal

(GI)

U.S. Dermatology

(Includes Solta

and Obagi)

Emerging Markets

(including Ophthalmology,

Dermatology, and GI sales)

Ex-U.S. Developed Markets

(including Ophthalmology,

Dermatology, and GI sales)

U.S. Ophthalmology

and Eye Care (B+L)

U.S. Consumer

U.S. Oncology, Dentistry,

Women’s Health, Neuro and Other

U.S.

Revenue:

~70%

5

Strong Growth Platforms

Emerging markets (2) U.S. Oncology, Dentistry,

Women’s Health,

Neuro/Other

% 2016 Est. revenue

(1) Including Solta and Obagi

(2) Including Ophthalmology, Dermatology, and GI sales

~15%

U.S. Dermatology (1) U.S. Ophthalmology

and Eye Care (B+L)

~10%

U.S. Gastrointestinal

~20%

U.S. Consumer

~5%

~20% ~20%

Ex-U.S. developed markets (2)

~10%

6

2015 2016 2017 2018 2019 2020Xenazine Ziana Lotemax Gel Acanya Zyclara Luzu

Targretin Zirgan Macugen Solodyn Tiazac (CAD)

Atralin Visudyne Deflux Istalol

Tasmar Glumetza Solesta Elidel

Zegerid Isuprel Moviprep

Virazole

Nitropress

Annual 2015

Sales

~$50 million~$50 million

Products

~$300 million ~$750 million ~$350 million ~$450 million

Potential Exclusivity Risk

Limited risk relative to expected 2016 revenues of $12.5-$12.7B

7

How you can measure our progress in 2016

▪ Retained all key management talent and added

new key hires

▪ Dermatology returned to growth

▪ Maximized Xifaxan – created our first $1B+ brand

▪ Got approval and successfully launched

– Brodalumab

– Latanoprostene Bunod

– Relistor Oral

▪ Delivered $100-150M in addyi sales in 2016

▪ Brought leverage to ~4.0x by end of 2016

Dr. Ari Kellen

EVP, Company Group

Chairman

9

Key facts on our R&D approach

Rx R&D spend

as a % of

branded Rx

sales 8%

▪ 6 NDAs approved in last 3 years

▪ 200+ active US programs

▪ Dermatology Phase II and Phase III success rates 3-5x

better than industry averages

▪ Highest 5 year output1 on R&D spend in the industry

1 Number of NMEs/BLAs approved 2009-'14 for each $1 billion spent;

peer set is 15 companies with the highest number of NME/BLA approvals

10

Valeant R&D at a glance

200 + active

US programs

+

+

6 NDAs approved

in last three

years

43 R&D

facilities 13 510K and PMA

approvals in

last three years 100 MD, PHD, PharmD, JD

and DMD degrees

1,000 R&D and quality

employees

11

How our R&D pipeline was built

We continue to invest

in TAs with attractive

assets

We have acquired

new platforms and

capabilities in

attractive TAs

In Dermatology, we

have built capabilities

from discovery to

commercialization

Our selection and

portfolio de-risking

give us an advantage

Post-acquisition, we

have supplemented

the pipeline where

required and de-risked

where possible

We are building similar

capabilities in

Ophthalmology and GI

Internal Inherited In-licensed /

purchased

Brodalumab

12

Early and late assets across TAs

1 Prior to Phase III for Pharma, 2018+ expected launch for others 2 Includes Phase III and FDA submitted products

3 Includes aesthetics, women’s health, and generics

8

4

12

6

4

5

7

22

6

20

3

2

12

1Opthalmology 7

Contact lenses 9

GI 6

Others3 17

Surgical

Dermatology 15

26 Consumer

32

40

early 72

late 112

total

Early1 Late2

Significant active US programs as of Dec. 2015

13

US branded and generic

drugs pipeline Ophthalmology Generics Dermatology

GI In-house development Women’s health

Early stage (Pre Ph. III)

Late stage (Ph. III - submission)

Latanoprostene Bunod:

OAG

IDP-118: Psoriasis SAL-020: HAE IDP-120: Acne

IDP-121: Acne SAL-021: RA IDP-125: Actinic keratosis

Relistor Oral: Opioid induced constipation

IDP-124: Atopic dermatitis

IDP-131: Psoriasis SAL-022: Diabetes

IDP-126: Acne IDP-122: Psoriasis

SAL-024: Crohn’s

SAL-023: Cirrhosis

BLG023: Anti-infective

IDP-127: Anti-fungal IDP-123: Acne

Brinzolamide Gx: OAG

BLO-020: Inflammation

IDP-128: Actinic keratosis

VAL-BRO-03: Psoriatic arthritis

SPT-201: HSDD

BLG020: Disclosing agent

IDP-129: Acne Brodalumab: Psoriasis

BLG021: Anti-infective

IDP-130: Acne BLO-021: Cystoid

Macular edema

BLG022: Anesthetic

EGP-437: Anterior uveitis

BLO-022: Post-operative

inflammation

14

US Devices pipeline Aesthetics Contact lenses

Surgical In-house development

Late stage Early stage

BLS-021: Retina

BLS-023: Retina

BLS-022: Retina

BLS-024: Retina

BLS-026: Retina

BLS-027: Retina

BLS-028: Retina

BLS-029: Retina

BLS-030: Retina

BLS-031: Retina

BLS-025: Retina

BLS-032: OEM

SOF-010: Skin resurfacing

SOT-010: Fine Lines & wrinkles

SOT-011: Fine Lines & wrinkles

BLS-002: Cataract

BLS-003: Cataract

BLS-004: Cataract

BLS-005: Retina

BLS-006: Cataract

BLS-007: Cataract

BLS-001: Cataract

SOM-010 Vascular Lesions

BLC-008: Astigmatism

BLC-007: MF

BLC-009: Astigmatism

BLS-015: Cataract

BLS-016: Cataract

BLS-017: Therapeutics

BLS-018: Retina

BLS-019: Retina

BLS-020: Retina

BLS-014: Refractive

BLC-001: SVS

BLC-003: SVS/MF/fA

BLC-002: SVS

BLC-004: Toric

BLC-006: SVS

BLS-012: Retina

BLS-008: Cataract

BLS-009: Retina

BLS-010: Cataract

BLS-011: Cataract

BLC-005: SVS/MF

BLS-013: Retina

15

Select pipeline opportunities

Relistor Oral

Latanoprostene

Bunod (LBN)

Drug1 Indication

Expected

launch

US

Prevalence

Opioid induced

constipation (OIC)

with chronic non-

cancer pain

Reduction of

Intraocular

pressure in patients

with Open Angle

Glaucoma (OAG)

and Ocular

hypertension

2016 (PDUFA

Date April 19th)

2016 ((PDUFA

Date July 21st)

2017/18 IDP118 Moderate to

severe plaque

psoriasis

~9.5M

~3.7M

~3.0M

Source: Decision Resources, BioMed Tracker

Brodalumab 2016 Moderate to

severe plaque

psoriasis

~9.5M

1 Product candidates, not yet approved by the FDA

16

Valeant Access Program with Walgreens

▪ Objectives:

– Ensure affordable access to Valeant products that doctors

choose to prescribe (for eligible patients)

– Jointly take costs out the healthcare system

▪ Status

– Signed December 14th 2015: 20 year partnership

▫ Strong ongoing momentum and collaboration between

Walgreens/Valeant teams

– Two distinct programs

▫ U.S. Brands Program: first phase (dermatology) operational

January 15, 2016, with ophthalmology products and Addyi to

follow shortly thereafter

▫ U.S. Brand for Generic program: expected to be operational

Mid 2016

– Exploring additional collaborations beyond the U.S.

17

Two distinct programs

▪ Patient access and co-pay

program to ensure affordable

access to branded products

▪ 25+ brands across Dermatology,

Ophthalmology Rx, and Addyi

▪ 10% WAC price reduction

(weighted average) across Derm

and Ophth Rx

▪ In process of building a

complementary network of

independent pharmacies

U.S. Branded Access Program

(Phase 1 (derm) on Jan 15th)

▪ For selected products, make

branded product available at

generic price

▪ Currently Valeant has sub 5%

market-share creating a meaningful

volume opportunity

U.S. Brand for Generic Program

(Expected Mid-2016)

Common program features

▪ Products on consignment, Walgreens does not take title

▪ Walgreens to be paid fee-for-service for distribution and fulfillment

services

18

Valeant’s new branded access program

▪ Ensure affordable access to Valeant products that doctors choose to prescribe (for eligible patients)1

▪ Take costs out the healthcare system

▪ Allow caregivers to focus their efforts on patient care

▪ Walgreens and Valeant teams prepared for Jan 15th launch of Dermatology brands; Ophthalmology Rx and Addyi to follow

1 Commercial insured and uninsured only – no government plans

2

Robert Rosiello

EVP, Chief Financial Officer

20

Q4 highlights

Confirming Q4 and 2015 full-year guidance

Strong continued momentum across business units

Strong year-over-year dermatology script growth

even with disruption (retained approximately 80% of

dermatology scripts)

Continued strong GI growth driven by double-digit

Xifaxan script growth and strong script growth in other

key products (Relistor, Apriso, Ruconest)

Expect ~10% same store organic sales growth for full

year, despite negative Q4 organic growth

Preparing for launch of new Branded Access Program

with Walgreens

21

Latest 2015

Guidance

(12/16/15)

2014 Actual

Latest 2015

Guidance vs

2014 Actual

$10.4 - $10.5B $8.29B 26%

$10.23 - $10.33

per share

$8.36

per share 23%

>$2.95B $2.5B 18%

Revenue

Adj. EPS*

Adj. Cash

Flow from

Operations*

* Non-GAAP, for Non-GAAP definition – See December 16, 2015 Presentation:

Valeant: An Enduring Engine for Growth, Pages 131 and 132

See Note 1

Latest 2015 guidance vs. 2014 actual

22

2016

Guidance

Latest 2015

Guidance

(12/16/15)

2016 Guidance

vs Latest 2015

Guidance

~$12.5B – 12.7B $10.4B – 10.5B ~21%

~$13.25 – 13.75

per share

$10.23 – 10.33

per share ~31%

$6.9 – 7.1B >$5.4B ~30%

Revenue

Adj. EPS*

Adj. EBITDA*

* Non-GAAP, for Non-GAAP definition – See December 16, 2015 Presentation:

Valeant: An Enduring Engine for Growth, Pages 131 and 132

See Note 1

2016 guidance vs. latest 2015 guidance

23

Bridge from 2016 Adjusted EBITDA* to 2016

Debt Paydown (detail to 12/16/15 presentation)

(US$M)

Adjusted EBITDA* (midpoint)

~$7,000

Cash Interest ~$1,600

Cash Taxes (~5% rate) ~$250

Increase in Working Capital ~$600

Cash Restructuring ~$200

Contingent Consideration/Milestones/Payments

(e.g., Sprout, brodalumab)

~$925

Capital Expenditure ~$350

Repayment of outstanding revolver balance (Year-

end 2015) plus discretionary cash

~$825

Debt Paydown >$2,250

* Non-GAAP, for Non-GAAP definition – See December 16, 2015 Presentation:

Valeant: An Enduring Engine for Growth, Pages 131 and 132

24

Clear short-term priorities

Continue to deliver strong performance across businesses

Keep organization focused

Drive disciplined execution through decentralized model

Return dermatology to growth

Launch Walgreens Branded Access Program

Prepare for Walgreens Branded Generics Access Program

Continue growth momentum in Salix

Driven by Xifaxan HE and IBS-D

Successfully launch key R&D products

Focus on debt pay down