presentslides.htm

Speakers:

Donald E. Morel, Jr.

Chairman and Chief Executive Officer

William J. Federici

Vice President and Chief Financial Officer

All trademarks and registered trademarks are the property of West Pharmaceutical Services, Inc., unless noted otherwise.

West Pharmaceutical Services, Inc.

Fourth-Quarter 2011 Analyst Conference Call

9 a.m. Eastern Time, February 16, 2012

A webcast of today’s call can be accessed in the
“Investors” section of the Company’s web site

www.westpharma.com

To participate please dial:

U.S. Toll-free (800) 299-6183 or

International(617) 801-9713

The passcode is 96457871.

A replay will be available on the web site two hours
after the live call and through February 23, 2012. To
access the replay by telephone please dial:

U.S. toll-free (888) 286-8010 or

International (617) 801-6888

The passcode is 36003666.

These presentation materials are intended to accompany today’s press release announcing the Company’s results
for the quarter and management’s discussion of those results during today’s conference call.

Cautionary Statement Under the Private Securities Litigation Reform Act of 1995

This presentation and any accompanying management commentary contain “forward-looking statements” as
that term is defined in the Private Securities Litigation Reform Act of 1995. Such statements include, but are not
limited to statements about expected financial results for 2012 and future years.

Each of these estimates is based on preliminary information, and actual results could differ from these
preliminary estimates. We caution investors that the risk factors listed under “Cautionary Statement” in today’s
press release, as well as those set forth under the caption "Risk Factors" in our most recent Annual Report on
Form 10-K as filed with the Securities and Exchange Commission and as revised or supplemented by our
quarterly reports on Form 10-Q, could cause our actual results to differ materially from those estimated or
predicted in the forward-looking statements. You should evaluate any statement in light of these important
factors. Except as required by law or regulation, we undertake no obligation to publicly update any forward-
looking statements, whether as a result of new information, future events, or otherwise.

Non-GAAP Financial Measures

Certain financial measures included in today’s press release and accompanying tables, in these presentation
materials, and which may be referred to in management’s discussion of the Company’s results and outlook, are
Non-GAAP (Generally Accepted Accounting Principles) financial measures. Please refer to the “Notes to Non-
GAAP Financial Measures” at the end of these materials for more information. Non-GAAP financial measures
should not be considered in isolation or as an alternative to such measures determined in accordance with
GAAP.

Summary Results
$ millions, except per-share data

(1) These are Non-GAAP measurements. See “Non-GAAP Financial Measures” and “Notes to Non-GAAP Financial
Measures” (Slides 13-15), “Cautionary Statement” (Slide 2) and see the “Restructuring and Other Items” section
and “Supplemental Information and Notes to Non-GAAP Financial Measures” in today’s press release for an
explanation and reconciliation of these items.

Fourth Quarter 2011 Operations

• Sales Grew 6.8% (7.2% at constant currency)

– Pharmaceutical Packaging Systems increased 8.6% (9.1% at constant
currency)

• High value products grew 12.1% (12.5% at constant currency)

– Pharmaceutical Delivery Systems up 1.4% (1.6% at constant currency)

• Contract Manufacturing gains despite price headwind, proprietary products flat

• Gross Margin Improving

– PPS pricing aids recovery from rising material costs

– PDS margin improves on stronger contract sales mix and utilization following
restructuring

• R&D spending maintained focus on quality initiative, CZ® and
SmartDose™

• SG&A spending lower

• Adjusted Operating Profit and Adjusted Diluted EPS sharply higher

Expansion and Product Development Update

• Update on Asia Expansion

– China rubber facility remains on schedule for 2012 completion and initial
commercial production in 2013.

– India land approval pending, construction work to follow

• Kinston NC conversion and high-value capacity

• NovaPure™ launch to bring QbD to parenteral packaging

• Progress on Daikyo Crystal Zenith® Insert Needle Syringe

– Partnership with leading biologics filler provides customers a CZ filling
alternative.

• Expect customers to commence using the facility in Q1 2012

• Planned addition of dedicated US-based capacity is progressing

• Large-volume parenteral delivery: SmartDose™ and CZ

• New applications for safety and administration products

Note: Crystal Zenith® is a registered trademark of Daikyo Seiko, Ltd.

Cash Flow Metrics
($ millions)

	Quarter Ended December 31,
	2011	2010
Depreciation and amortization	$18.4	$19.5
Operating cash flow	$41.8	$47.2
Capital expenditures±	$33.4	$21.3

± Capital expenditure cash flows exclude amounts incurred in the period but unpaid
at the balance sheet date, which were $14.4 in 2011 and $4.5 in 2010.

Summary Balance Sheet Information

	As of
	December 31, 2011	December 31, 2010
Cash and cash equivalents	$91.8	$110.2

Debt	$349.4	$358.4
Equity	$654.9	$625.7
Net debt to total invested capital†	28.2%	28.4%

Working capital	$228.8	$266.9

† Net Debt and Total Invested Capital are Non-GAAP measures. Net Debt is determined by reducing total
debt by the amount of cash and cash equivalents. Total Invested Capital is the sum of Net Debt and Equity.

($ millions, except EPS)	Estimated 2012 Revenue(1)	Estimated Gross Profit %(1)(2)
Pharmaceutical Packaging Systems Segment	$875 - $895	33.3%

Pharmaceutical Delivery Systems Segment	$340 - $350	20.1%

Consolidated	$1,215 - $1,245	29.6%
	2012 Adjusted Diluted EPS(1)(2) Estimate
	$2.37- $2.55

(1) Guidance includes various currency exchange rate assumptions, most significantly the Euro at $1.32 for the
remainder of 2012. Actual results will vary as a result of variability of exchange rates, among other items.

(2) See “Non-GAAP Financial Measures” and “Notes to Non-GAAP Financial Measures”(Slides 13 - 15),“Cautionary
Statement” (Slide 2) and today’s press release for an explanation and reconciliation of these items.

Selected Factors That Impact Margin % in 2012(3)

Rising Raw-material costs: Costs rose in 2011, impacting gross profit margin by
2.3% in the fourth quarter and 2.2% for the year, excluding related price increases. If
costs continue to rise, margins will narrow as there is a delay between market-driven
cost increases and when costs are passed on as higher prices to customers.

Improving Sales Mix: Profit expectations include the favorable impact of expected
disproportionate sales growth for high-value pharmaceutical packaging components
and proprietary pharmaceutical delivery devices and systems.

Selling price: As a result of rising costs in recent quarters, our selling-prices are
increasing more rapidly than they have in recent years. Increases impact list prices
and formulated contract-price escalators, and profit expectations for 2012 are
dependent upon realizing the expected increases.

Lean Savings and Production Efficiencies: Profit expectations are dependent on
anticipated improvements in manufacturing efficiency as a result of:

– “Lean Manufacturing” programs, which focus on process efficiency

– Increased manufacturing efficiency as a result economies of scale associated
with sales growth

(3) See “Cautionary Statement” on slide 2. This is not an exclusive list of risks associated with forward
looking statements included here or made in the presentation.

Non-GAAP Financial Measures(1)
Three Months Ended December 31, 2011 and 2010

(in millions, except per share data)

As Reported

December 31,

2011

Restructuring &
related charges

Acquisition-
related
contingencies

Special
separation
benefits

Discrete
tax items

Non-GAAP

December
31,

2011

Operating profit

$26.9

$1.0

$0.2

$0.8

$28.9

Interest expense, net

3.9

Income before income taxes

23.0

1.0

0.2

0.8

25.0

Income tax expense

5.5

0.4

0.3

(0.6)

5.6

Equity in net income of
affiliated companies

1.4

Net income

$18.9

$0.6

$0.2

$0.5

$0.6

$20.8

Net income per diluted share

$0.54

$0.02

$0.01

$0.02

$0.59

	As Reported December 31, 2010	Restructuring and related charges	Discrete tax items	Non-GAAP December 31, 2010
Operating profit	$5.9	$14.7	$-	$20.6
Interest expense, net	4.4	-	-	4.4
Income before income taxes	1.5	14.7	-	16.2
Income tax expense (benefit)	(3.6)	5.3	1.1	2.8
Equity in net income of affiliated companies	0.8	-	-	0.8
Net income	$5.9	$9.4	($1.1)	$14.2


Net income per diluted share	$0.18	$0.27	($0.03)	$0.42

(1) See “Notes to Non-GAAP Financial Measures” (Slides 14-15), “Cautionary Statement” (Slide 2) and see the “Restructuring and Other Items”
section and “Supplemental Information and Notes to Non-GAAP Financial Measures” in today’s press release for an explanation and
reconciliation of these items.

NOTES TO NON-GAAP FINANCIAL MEASURES
For additional details, please see today’s press release and Safe Harbor Statement.

These slides use non-GAAP financial measures. West believes that these non-GAAP measures of financial results provide
useful information to management and investors regarding certain business trends relating to West’s financial condition, results
of operations and the Company’s overall performance. Our executive management team uses adjusted operating profit and
adjusted diluted EPS to evaluate the performance of the Company in terms of profitability and to compare operating results to
prior periods. Adjusted operating profit is also used to evaluate changes in the operating results of each segment and to allocate
resources to our segments. The Company believes that the use of these non-GAAP financial measures provides an additional
tool for investors to use in evaluating ongoing operating results and trends in comparing its financial measures with other
companies.

Our executive management does not consider such non-GAAP measures in isolation or as an alternative to such measures
determined in accordance with GAAP. The principal limitation of such non-GAAP financial measures is that they exclude
significant expenses and income that are required by GAAP to be recorded. In addition, they are subject to inherent limitations
as they reflect the exercise of judgment by management about which items are excluded from the non-GAAP financial
measures. In order to compensate for these limitations, our executive management presents its non-GAAP financial measures
in connection with its GAAP results. We urge investors and potential investors to review the reconciliation of our non-GAAP
financial measures to the comparable GAAP financial measures, and not rely on any single financial measure to evaluate the
Company’s business.

In calculating adjusted operating profit and adjusted diluted EPS, we exclude the impact of items that are not considered
representative of ongoing operations. Such items include restructuring and related costs, certain asset impairments, other
specifically identified gains or losses, and discrete income tax items. Reconciliations of these adjusted non-GAAP measures to
the comparable GAAP financial measures are included in the preceding (current and prior-year periods) and succeeding (2012
Guidance) slides.

The following is a description of the items excluded from adjusted operating profit and adjusted diluted EPS:

Restructuring & related charges: During the three months ended December 31, 2011, we incurred restructuring and related
charges of $1.0 million associated with the restructuring plan announced in December 2010. Charges associated with the plan
in 2011 were primarily associated with the 2011 closure of a plant in the United States, a reduction of operations at a
manufacturing facility in England, and the elimination of certain operational and administrative functions in other locations.

During the three months ended December 31, 2010 we incurred restructuring and related charges of $14.7 million. The majority
of these charges related to the restructuring plan that our Board of Directors approved in December 2010, which was designed
to reduce our cost structure and improve operating efficiency.

(continued on following slide)

NOTES TO NON-GAAP FINANCIAL MEASURES
For additional details, please see today’s press release and Safe Harbor Statement.

Acquisition-related contingencies: During the three months ended December 31, 2011, we increased the liability for
contingent consideration related to our 2010 acquisition of technology used in our SmartDose™ electronic patch injector
system by $0.2 million.

Special Separation Benefit: During the three months ended December 31, 2011, we incurred special separation benefits of
$0.8 million related to the retirement of our former President and Chief Operating Officer. The cost consisted primarily of
a settlement loss related to one of our non-qualified defined benefit pension plans.

Discrete tax items: During the three months ended December 31, 2011 we recognized discrete tax charges of $0.6 million,
the majority of which resulted from changes in certain international tax rates that affected our deferred tax carrying values
and the finalization of prior year tax returns.

During the three months ended December 31, 2010, we recognized $1.1 million in net discrete tax benefits, the majority of
which resulted from the reversal of liabilities for unrecognized tax benefits.

Reconciliation of 2012 Adjusted Guidance to 2012 Reported Guidance:

(a) Guidance includes various currency exchange rate assumptions, most significantly the Euro at $1.32 for the remainder of 2012.
Actual results will vary as a result of variability of exchange rates.