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Hill-Rom Holdings Management Presents At Deutsche Bank Securities, Inc. 37th Annual Health Care Conference (Transcript)

The second diversification comes across our business model. 70% of our business comes through our capital sales, sale of software, and services and about 30% from rental. And to be clear, rental is not a product that is a lease versus buy decision. It is actually use of our products for episodic events or specialized products, where the care giver makes a business decision to lease that product as opposed to purchasing it.

We also have diversification by geography, and 75% of our business is in North America, about 17% in Europe, and 8% in the rest of the world. And as I mentioned a minute ago, and we will go into a little more detail, the Volker acquisition will enhance our presence internationally, and especially in Europe.

You are all familiar with the challenges faced by the healthcare industry, and certainly we are faced with those as well. Customers are looking for improved outcomes, they are looking for reduced operating costs, and fortunately we are positioned to help them with those challenges. As I like to say, we’re with the grains. So, as opposed to adding to their challenges, our products, the orthopedic frames and services, our lifts, and our connectivity tools, we can impact both.

If you look at our products, they help to contribute to a reduction in patient falls, a reduction in the frequency and severity of skin pressure ulcers, and also a reduction in

Ventilator acquired pneumonia. They also help with the mobility and assist with the mobility of a patient, which helps to reduce injuries to care givers, both nurses and other staff.

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