CONSOLIDATED STATEMENT OF INCOME

(Unaudited)



	Three Months Ended March 31,
	2015 (As Previously Reported)			Restatement Adjustments			2015 (Restated)			Restatement Ref
Revenues
Product sales	$	2,146.9		$	(20.8	)	$	2,126.1		(a)
Other revenues	44.0			—			44.0
	2,190.9			(20.8		)	2,170.1
Expenses
Cost of goods sold (exclusive of amortization and impairments of finite-lived
intangible assets shown separately below)	560.4			(52.5		)	507.9			(a)
Cost of other revenues	14.3			—			14.3
Selling, general and administrative	573.8			—			573.8
Research and development	55.8			—			55.8
Amortization and impairment of finite-lived intangible assets	365.2			—			365.2
Restructuring, integration and other costs	55.0			—			55.0
Acquisition-related costs	9.8			4.1			13.9			(b)
Acquisition-related contingent consideration	7.1			—			7.1
Other expense	6.1			—			6.1
	1,647.5			(48.4		)	1,599.1
Operating income	543.4			27.6			571.0
Interest income	0.9			—			0.9
Interest expense	(297.8		)	—			(297.8		)
Loss on extinguishment of debt	(20.0		)	—			(20.0		)
Foreign exchange and other	(71.1		)	—			(71.1		)
Income before provision for income taxes	155.4			27.6			183.0
Provision for income taxes	80.9			3.6			84.5			(c)
Net income	74.5			24.0			98.5
Less: Net income attributable to noncontrolling interest	0.8			—			0.8
Net income attributable to Valeant Pharmaceuticals International, Inc.	$	73.7		$	24.0		$	97.7

Earnings per share attributable to Valeant Pharmaceuticals International, Inc.:
Basic	$	0.22		$	0.07		$	0.29
Diluted	$	0.21		$	0.07		$	0.28

Weighted-average common shares outstanding (in millions)
Basic	336.8						336.8
Diluted	343.4						343.4

There was no net impact of the 2015 restatement adjustments on net cash provided by operating activities, net cash used in investing activities and net cash provided by financing activities in the Consolidated Statement of Cash Flows. The adjustments only had an impact on certain captions within cash flows from operating activities.

CONSOLIDATED STATEMENT OF CASH FLOWS

(Unaudited)



	Three Months Ended March 31,
	2015 (As Previously Reported)			Restatement Adjustments			2015 (Restated)			Restatement Ref
Cash Flow From Operating Activities
Net income	$	74.5		$	24.0		$	98.5
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation and amortization, including impairments of finite-lived intangible assets	407.0			—			407.0
Amortization and write-off of debt discounts and debt issuance costs	10.5			—			10.5
Acquisition accounting adjustment on inventory sold	24.5			—			24.5
Acquisition-related contingent consideration	7.1			—			7.1
Allowances for losses on accounts receivable and inventories	12.2			—			12.2
Deferred income taxes	62.4			3.6			66.0			(c)
Additions to accrued legal settlements	1.5			—			1.5
Payments of accrued legal settlements	(3.0		)	—			(3.0		)
Share-based compensation	35.0			—			35.0
Tax benefits from share based compensation	(17.9		)	—			(17.9		)
Foreign exchange loss	75.9			—			75.9
Loss on extinguishment of debt	20.0			—			20.0
Payment of accreted interest on contingent consideration	(2.2		)	—			(2.2		)
Other	(7.2		)	—			(7.2		)
Changes in operating assets and liabilities:
Trade receivables	(67.0		)	—			(67.0		)
Inventories	(38.5		)	(52.5		)	(91.0		)	(a)
Prepaid expenses and other current assets	(45.1		)	—			(45.1		)
Accounts payable, accrued and other liabilities	(58.6		)	24.9			(33.7		)	(a), (b)
Net cash provided by operating activities	491.1			—			491.1

Net cash used in investing activities	(11,240.5		)	—			(11,240.5		)

Net cash provided by financing activities	12,306.3			—			12,306.3

Effect of exchange rate changes on cash and cash equivalents	(15.1		)	—			(15.1		)
Net increase in cash and cash equivalents	1,541.8			—			1,541.8
Cash and cash equivalents, beginning of period	322.6			—			322.6
Cash and cash equivalents, end of period	$	1,864.4		$	—		$	1,864.4

Non- Cash Investing and Financing Activities
Acquisition of businesses, contingent consideration at fair value	$	(286.9	)	$	—		$	(286.9	)