Strategic Acquisitions and Organic Growth

Dr. Kirstin Henze, Leica Microsystems

For the first time in its history, Leica Microsystems’ annual sales volume for 2008 exceeded the billion US dollar mark.“Over the lasttwo years, we have seen a dramatic increase in the demand for our products throughout the world. In most of the markets in whichwe operate – including biomedical research, clinical applications, industry, microsurgery, and histopathology – we have achieveddouble-digit organic growth rates. Moreover, we have substantially expanded our product breadth through a number of strategiccompany acquisitions,” comments Dr. David Martyr, President of Leica Microsystems.

Numerous company acquisitions expand product range and benefit customers

Leica Microsystems was purchased by WashingtonD.C.-based Danaher Corporation (NYSE : DH R) in thesummer of 2005. Since that time, Leica Microsystemshas acquired and integrated eight companies in Australia,Europe, the US , and Asia. With these acquisitions,Leica Microsystems has significantly broadenedits product offering and now provides one of the mostcomprehensive ranges of microscopy and histopathologyproducts on the market. Leica Microsystems’histology offering now includes consumables for usewith its instruments. This allows histology customersto obtain all needed products from a single source.“I’m pleased to say that we’ve not only expanded ourproduct portfolio through strategic acquisitions, butwe have also gained significant market share as a resultof innovation within our existing segments,” says Martyr.

Innovative strength drives organic growth

An important pillar of the success of Leica Microsystems,according to Martyr, is its innovative strength. In2008 alone, the Life Science, Biosystems, Industry andSurgical Divisions launched over 50 new, and in somecases, breakthrough products. As a result of its recentproduct launches, Leica Microsystems is now at thecutting edge of technology. Examples of innovationin life science include the super high-resolution STED technology, the macro confocal Leica TCS LSI , andstereomicroscopes with FusionOptics™.

Leica Microsystems is owner of the Leica brand

Leica Microsystems owns the rights to the Leicaname and the Leica brand and controls its use throughlicensing agreements. Leica Microsystems, LeicaGeosystems, and Leica Camera are financially, legally,and operatively independent companies, operate indifferent markets, and belong to different owners.