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Fact
 Book
   2007-2008




               Investor Relations
               Katherine A. Owen
               Vice President, Strategy
               and Investor Relations


               Public & Media Relations
               J. Patrick Anderson
               Vice President,
               Corporate Affairs


               2825 Airview Boulevard
               Kalamazoo, MI 49002
               t: 269 385 2600
Table of
                     Contents
        Stryker Overview
                 Company Leadership............................................................................................................ 2
                 Summary of Results Years Ending December 31 ................................................................ 3
                 Net Sales as Reported........................................................................................................... 4
                 Net Earnings as Reported ..................................................................................................... 5
                 Adjusted Net Earnings from Continuing Operations............................................................ 6
                 Diluted Net Earnings per Share as Reported ........................................................................ 7
                 Adjusted Diluted Net Earnings per Share from Continuing Operations............................... 8
                 2007 Product Portfolio Sales................................................................................................ 9
                 2007 Orthopaedic Implant Product Sales ............................................................................. 10
                 2007 MedSurg Equipment Sales .......................................................................................... 11
                 2007 Sales by Geography..................................................................................................... 12



        Market Segment Overview
              Medical Technology Market Overview
                 2007 Worldwide Market ...................................................................................................... 14


              Orthopaedic Market Segment Overview
                 2007 Worldwide Market by Product .................................................................................... 15
                 2007 Worldwide Market by Company ................................................................................. 16
                 2007 Worldwide Market by Geography............................................................................... 17


              Orthopaedic Implant Segment Overview
                 2007 Worldwide Reconstructive Market.............................................................................. 18
                 2007 Worldwide Spinal Market ........................................................................................... 19
                 2007 Worldwide Trauma & Craniomaxillofacial Market .................................................... 20
                 2007 Worldwide Orthobiologics Market.............................................................................. 21


              MedSurg Equipment Segment Overview
                 2007 Worldwide Operating Room Equipment Market ........................................................ 22
                 2007 Worldwide Endoscopy Market.................................................................................... 23
                 2007 North American Patient Handling Market................................................................... 24




__________________________________
Fact Book             2007-2008
Stryker
                            Overview




_______________________
Fact Book       2007-2008              1
Company
                        Leadership
       John W. Brown             Chairman of the Board
       Stephen P. MacMillan      President and Chief Executive Officer
       J. Patrick Anderson       Vice President, Corporate Affairs
       Dean H. Bergy             Vice President and Chief Financial Officer
       Xavier Berling            Representative Director and President, Japan
       Patrick J. Beyer          President, EMEA (Europe, Middle East, Africa)
       Lonny J. Carpenter        Vice President and General Manager, Medical
       James L. Cunniff          President, Pacific
       William R. Enquist        President, Global Endoscopy
       Andrew Fox-Smith          President, International
       Curtis E. Hall, Esq.      Vice President and General Counsel
       Curt R. Hartman           President, Global Instruments
       Stephen Si Johnson        Vice President, Group President, MedSurg
       James E. Kemler           Vice President, Group President, Biotech, Osteosynthesis and Development
       Ronald L. Lancaster       Vice President, Development
       Edward B. Lipes           Executive Vice President
       Lee D. Lovely             Vice President and General Manager, Canada and Latin America
       Eric Lum                  Vice President, Tax
       Vivian Masson             President, Osteosynthesis
       Michael P. Mogul          President, Orthopaedics
       Katherine A. Owen         Vice President, Strategy and Investor Relations
       James B. Praeger          Controller
       Michael W. Rude           Vice President, Human Resources
       Timothy J. Scannell       President, Spine
       Elizabeth A. Staub        Vice President, Regulatory Affairs and Quality Assurance
       Bronwen R. Taylor         Vice President, Internal Audit and Compliance
       Thomas R. Winkel          Vice President and Secretary
       Bryant S. Zanko           Vice President, Business Development




_______________________
Fact Book            2007-2008                                                                              2
Stryker Overview
          Summary of Results Years Ending December 31

As Reported
                                                                                   2007                        2006    % Change
  Net Sales                                                                      $6,001                       $5,147      17%
  Net Earnings                                                                    1,017                          778      31%
  Diluted Net Earnings per Share                                                   2.44                         1.89      29%
  Dividends per Share                                                              0.33                         0.22      50%



Adjusted Results
                                                                                   2007                        2006    % Change
  Net Sales                                                                       $6,001                      $5,147      17%
  Adjusted Net Earnings
  from Continuing Operations¹                                                         999                       824       21%
  Adjusted Diluted Net Earnings per Share
  from Continuing Operations²                                                        2.40                       2.00      20%
  Adjusted Return on Sales                                                            17%                       16%
  Adjusted Return on Average Equity                                                   21%                       22%


$ in millions (except per share amounts)
1. See page 6 for the reconciliation to adjusted net earnings from continuing operations.
2. See page 8 for the reconciliation to adjusted diluted net earnings per share from continuing operations.




__________________________________
Fact Book                 2007-2008                                                                                             3
Stryker Overview
                        Net Sales as Reported

   $ in Millions

    6,500                                                                                      6,001
    6,000
                                                                                      5,147
    5,500
    5,000                                                                     4,609
    4,500                                                             4,017
    4,000
                                                              3,402
    3,500
                                                     2,810
    3,000                                    2,421
                                     2,142
    2,500                  1,982
    2,000
    1,500
                 987
    1,000
      500
          0
              1998        1999       2000    2001    2002    2003     2004    2005    2006    2007

Annual
Growth Rate 12%             101%      8%     13%     16%     21%      18%     15%     12%     17%




__________________________________
Fact Book               2007-2008                                                                      4
Stryker Overview
                        Net Earnings as Reported

 $ in Millions
    1,100                                                                                1,017
    1,000

      900
                                                                                  778
      800
                                                                           644
      700

      600
                                                                    440
      500                                                    434
      400                                             329
                                              255
      300                              211
      200
                   58
      100                     14
            0
                1998      1999       2000    2001   2002    2003   2004   2005   2006   2007


Annual
Growth Rate (53)% (76)%               N.M.   21%    29%     32%    1%     46%    21%    31%


N.M. = Not Meaningful




__________________________________
Fact Book               2007-2008                                                                5
Stryker Overview
                     Adjusted Net Earnings from Continuing Operations*
$ in Millions
        1,100
                                                                                                                                                                         999
        1,000

           900                                                                                                                                         824
           800
                                                                                                                                        676
           700
                                                                                                                        559
           600

           500                                                                                             419

                                                                                           325
           400
                                                                          257
           300                                             210
                                           162
                          134
           200

           100

               0
                      1998            1999             2000            2001         2002                 2003        2004             2005           2006         2007


 Annual
 Growth Rate 13%                      21%               29%            22%            26%                 29%          33%              21%           22%           21%


  * RECONCILIATION TO ADJUSTED NET EARNINGS FROM CONTINUING OPERATIONS ($ Millions)

                                                                        1998      1999       2000          2001      2002      2003       2004        2005      2006        2007
 Reported Net Earnings                                                  $57.5     $13.7     $211.1        $255.2    $328.5    $434.4     $440.0      $643.6    $777.7    $1,017.4

 Adjustments (Net of Tax):
    Inventory Step-Up in Cost of Sales                                    5.1     129.0         -             -         -         -          -           -         -             -
    Goodwill/Workforce Intangible Amortization                            2.2      10.1       10.9          11.0        -         -          -           -         -             -
    Purchased In-Process Research & Development                          55.0        -          -             -         -         -       120.8        15.9      52.7            -
    Income Taxes on Repatriation of Foreign Earnings                       -         -          -             -         -         -          -         27.4        -             -
    Acquisition-Related, Restructuring and Special Charges (Credits)     21.8      12.3       (0.7)          0.4      11.5        -          -           -         -             -
    Extraordinary Loss                                                     -         -          -            4.8        -         -          -           -         -             -
    Intangible Asset Impairment                                            -         -          -             -         -         -          -           -         -           12.7
    Net Earnings and Gain on Sale of Discontinued Operations             (7.2)     (2.8)     (11.4)        (14.6)    (15.2)    (15.8)        (2.0)    (11.1)     (6.3)      (30.7)

    Subtotal                                                             76.9     148.6          (1.2)       1.6      (3.7)    (15.8)     118.8        32.2      46.4       (18.0)
 Adjusted Net Earnings from Continuing Operations                      $134.4    $162.3     $209.9        $256.8    $324.8    $418.6     $558.8      $675.8    $824.1     $999.4




 __________________________________
 Fact Book                        2007-2008                                                                                                                                     6
Stryker Overview
                         Diluted Net Earnings per Share as Reported


                                                                                                   2.44
   $2.60
   $2.40
   $2.20
                                                                                          1.89
   $2.00
                                                                                 1.57
   $1.80
   $1.60
   $1.40
                                                                         1.08
                                                                1.07
   $1.20
                                                       0.81
   $1.00
                                               0.63
   $0.80
                                      0.52
   $0.60
   $0.40          0.15
                            0.03
   $0.20
   $0.00
              1998       1999        2000    2001     2002    2003     2004     2005    2006     2007


Annual
Growth Rate (52)%         (80)%      N.M.    21%      29%     32%      1%       45%     20%      29%




N.M. = Not Meaningful




__________________________________
Fact Book               2007-2008                                                                         7
Stryker Overview
                                       Adjusted Diluted Net Earnings per Share
                                       from Continuing Operations*

       $2.60                                                                                                                                                  2.40
       $2.40
       $2.20                                                                                                                                 2.00
       $2.00
                                                                                                                                  1.65
       $1.80
       $1.60                                                                                                      1.37
       $1.40
                                                                                                     1.03
       $1.20
       $1.00                                                                         0.80
                                                                        0.63
       $0.80
                                                           0.52
                                          0.41
       $0.60
                         0.34
       $0.40
       $0.20
       $0.00
                     1998             1999            2000            2001       2002              2003        2004        2005            2006       2007


Annual
                       13%                21%           27%           21%        27%                29%        33%           20%           21%          20%
Growth Rate



* RECONCILIATION TO ADJUSTED DILUTED NET EARNINGS PER SHARE FROM CONTINUING OPERATIONS

                                                                        1998     1999       2000       2001     2002      2003     2004     2005     2006        2007
Reported Diluted Net Earnings per Share                                 $0.15    $0.03      $0.52     $0.63    $0.81     $1.07     $1.08    $1.57    $1.89      $2.44
Adjustments (Net of Tax):
   Inventory Step-Up in Cost of Sales                                    0.01     0.32         -         -         -        -         -        -        -            -
   Goodwill/Workforce Intangible Amortization                            0.01     0.03       0.03      0.03        -        -         -        -        -            -
   Purchased In-Process Research & Development                           0.14       -          -         -         -        -       0.30     0.04     0.13           -
   Income Taxes on Repatriation of Foreign Earnings                        -        -          -         -         -        -         -      0.07       -            -
   Acquisition-Related, Restructuring and Special Charges (Credits)      0.06     0.03         -         -       0.03       -         -        -        -            -
   Extraordinary Loss                                                      -        -          -       0.01        -        -         -        -        -            -
   Intangible Asset Impairment                                             -        -          -         -         -        -         -        -        -         0 .03
   Net Earnings and Gain on Sale of Discontinued Operations             (0.02)   (0.01)     (0.03)    (0.04)    (0.04)   (0.04)       -     (0.03)   (0.02)      (0.07)

   Subtotal                                                              0.20     0.37         -          -     (0.01)   (0.04)     0.29     0.08     0.11       (0.04)
Adjusted Diluted Net Earnings per Share from Continuing Operations      $0.34    $0.41      $0.52     $0.63    $0.80     $1.03     $1.37    $1.65    $2.00      $2.40




__________________________________
Fact Book                        2007-2008                                                                                                                           8
Stryker Overview
                         2007 Product Portfolio Sales
                                                                                        Orthopaedic
                                                                                         Implants
                                                       Trauma and
                                                                                            60%
                                                    Craniomaxillofacial

                                Spinal
                                                                                         Hips
  Other Reconstructive



     Medical
 Beds & Stretchers




                                                                                                Knees

                  Endoscopy

   MedSurg
                                                            Operating Room
  Equipment
                                                              Equipment
    40%




                                                                          MedSurg Equipment
                                     Orthopaedic Implants




            $ in Millions
                                                                                              Constant
                                                                                              Currency
                                               2007             2006         % Change
             Orthopaedic Implants             $3,571           $3,110          15%              12%
             MedSurg Equipment                  2,430           2,037           19%             17%
             Total                             $6,001          $5,147           17%             14%




__________________________________
Fact Book               2007-2008                                                                        9
Stryker Overview
                          2007 Orthopaedic Implant Product Sales
                                      Knees

                                                                                                         Other
                                                                                                     Reconstructive




                                                                                                                    Trauma and
                                                                                                                 Craniomaxillofacial



                  Hips



                                                                              Spinal

                                            60% of Total Company Sales
$ in Millions
     4,000
                                                                                                                        3,571

     3,500
                                                                                                             3,110
                                                                                                 2,850
     3,000
                                                                                       2,556
     2,500                                                                2,192
                                                               1,798
     2,000
                                                    1,537
                                        1,406
                            1,334
     1,500       1,191*

     1,000

       500

            0
                1998       1999       2000        2001       2002        2003       2004        2005       2006        2007

Annual
Growth Rate      N.M.       12%          5%        9%          17%         22%         17%        12%        9%         15%

* Proforma results assuming 12 months of sales for both Stryker and Howmedica. Orthopaedic Implant product sales as reported in 1998 were
  $410 million.
N.M. = Not Meaningful

__________________________________
Fact Book                2007-2008                                                                                                          10
Stryker Overview
                        2007 MedSurg Equipment Sales
                                                                                                 Operating Room
                                                                                                   Equipment




         Medical
     Beds & Stretchers




                                                                                                               Endoscopy




                                             40% of Total Company Sales
$ in Millions
                                                                                                                           2,430
     2,400
                                                                                                               2,037
     2,100
                                                                                                   1,759
     1,800
                                                                                        1,461
     1,500
                                                                            1,210
                                                                 1,012
     1,200
                                                      884
        900                               736
                               648
                  597*
        600

        300

            0
                1998       1999        2000        2001       2002        2003        2004       2005        2006        2007

Annual
                   N.M.        9%          14%         20%        14%         20%        21%         20%         16%         19%
Growth Rate

* Proforma results assuming 12 months of sales for both Stryker and Howmedica. MedSurg equipment sales as reported in 1998 were $577 million.
N.M. = Not Meaningful
__________________________________
Fact Book               2007-2008                                                                                                         11
Stryker Overview
                         2007 Sales by Geography


                     United States




                                                                                          EMEA Region




                                                                             Japan
                                                                Pacific Region
                                              Canada &
                                              Latin America
                                              Region

                                     United States:            64%
                                     International:            36%



             $ in Millions
                                                                                     Constant
                                                                                     Currency
                                     2007             2006           % Change
                United States        $3,851           $3,298           17%             17%
                International         2,150            1,849           16%             9%
                Total                $6,001           $5,147           17%             14%




__________________________________
Fact Book               2007-2008                                                                   12
Market
             Segment
              Overview


The data set forth in this Market Segment Overview is derived, in part, from third party sources, including publicly reported
information to the extent available. We are unable to independently verify the information that comes from third party
sources. Moreover, the total market segment size and the market segment share of the companies included is
necessarily based on estimates as many companies do not report the specific information identified by market segments
as classified in this Market Segment Overview. The data presented is based on our definition of the market segments.
Accordingly, while we believe that this data is representative, it is presented only to provide the reader with a broad
overview and should not be relied on.

__________________________________
Fact Book               2007-2008                                                                                         13
Medical Technology Market Overview
                        2007 Worldwide Market

                 Top Medical Technology Companies ($ in Billions)

                                                     Total       Total
                                                   Estimated   Estimated
                                                   Med Tech    Company
                                                     Sales       Sales
                    Rank       Company
                     1.        J&J                     21.7       61.1
                     2.        G.E.                    17.0      172.7
                     3.        Siemens                 14.2      101.6
                     4.        Medtronic               12.9       12.9
                     5.        Baxter                  11.3       11.3
                     6.        Covidien                10.4       10.4
                     7.        Philips                  8.9       36.7
                     8.        Boston Scientific        8.4        8.4
                     9.        Abbott                   6.3       25.9
                     10.       Stryker                  6.0        6.0
                     11.       Becton Dickinson         5.5        6.6
                     12.       Cardinal Health          5.0       89.4
                     13.       B. Braun                 4.5        4.5
                     14.       3M                       4.0       24.5
                     15.       Zimmer                   3.9        3.9
                     16.       St. Jude                 3.8        3.8
                     17.       Smith & Nephew           3.4        3.4
                     17.       Hospira                  3.4        3.4
                     19.       Olympus                  2.9        9.7
                     20.       Beckman Coulter          2.8        2.8
                     21.       Synthes                  2.7        2.7
                     22.       Terumo                   2.6        2.6
                     22.       Fresenius                2.6        9.7
                     24.       Onex                     2.5        2.5
                     24.       Alcon                    2.5        5.6
                     26.       C.R. Bard                2.2        2.2
                     26.       Biomet                   2.2        2.2
                     28.       Dentsply                 2.0        2.0
                     29.       Varian Medical           1.8        1.8

__________________________________
Fact Book               2007-2008                                          14
Orthopaedic Market Segment Overview
                         2007 Worldwide Market by Product
                                                                       Arthroscopy
                                          Orthobiologics                              Hyaluronic Acid
                                                                                              Other
                     Operating Room
                       Equipment




            Trauma and
            Craniomaxillofacial




                                                                                                   Reconstructive
                                                                                                 Joint Replacement
                                                Spinal

                                             Market Size:        $31.6 Billion
                                             $ Growth:           11%
                                             Stryker participates in shaded areas above


            Estimated ($ in Billions)
                                                                          Percent            Growth
                                                                         of Market            Rate
              Implants                                   Sales
              Knees                                      $5.9               19%                11%
              Spinal Devices                              5.1               16%                 11%
              Hips                                        5.0               16%                 11%
              Trauma & Craniomaxillofacial                4.4               14%                 12%
              Orthobiologics                              2.5                8%                 13%
              Hyaluronic Acid                             1.0                3%                  9%
              Extremities & Bone Cement                   0.9                3%                 19%
              Subtotal                                $24.8                 79%                12%

                                                                          Percent            Growth
                                                                         of Market            Rate
              Equipment & Other                          Sales
              Operating Room Equipment                   $3.0                 9%               11%
              Arthroscopy                                 2.4                    8%             11%
              Other                                       1.4                 4%                3%
              Subtotal                                   $6.8                21%                9%

              Total Orthopaedic Market                $31.6                 100%               11%
__________________________________
Fact Book                2007-2008                                                                              15
Orthopaedic Market Segment Overview
                        2007 Worldwide Market by Company
                                                             Other




                                                                                                     Stryker
                     Biomet



      Smith & Nephew




                     Synthes
                                                                                               J&J

                                     Medtronic
                                                                      Zimmer


                                                 Market Size:        $31.6 Billion
                                                 $ Growth:           11%




   Estimated ($ in Billions)
                                                             Orthopaedic             Orthopaedic       Orthopaedic
                                                                Sales                Market Share      Growth Rate
     Company                            Total Sales
     Stryker                               $6.0                  $5.0                    16%                   16%
     J&J                                   61.1                   4.0                    13%                   10%
     Zimmer                                  3.9                  3.7                    12%                   11%
     Medtronic*                            12.9                   3.3                    10%                   9%
     Synthes                                 2.7                  2.7                     9%                   13%
     Smith & Nephew*                         3.4                  2.6                     8%                   16%
     Biomet                                  2.2                  1.9                     6%                   5%
     Other                                 N/A                    8.4                    26%                   9%
     Total Market                          N/A                  $31.6                   100%                   11%

   * Proforma




__________________________________
Fact Book               2007-2008                                                                                    16
Orthopaedic Market Segment Overview
                          2007 Worldwide Market by Geography


                United States
                                                                           EMEA Region




                                                                                      Japan



                                                                                Pacific Region

                                                                          Canada & Latin
                                                                          America Region




                                     Market Size:      $31.6 Billion
                                     $ Growth:         11%
                                     Stryker participates in all geographic markets



        Estimated ($ in Billions)
                                                            Percent of     Growth        Constant Currency
          Geographic Market                                  Market         Rate           Growth Rate
                                               2007
          United States                       $19.7            62%           10%                 10%
          EMEA Region                            7.9           25%           16%                  7%
          Pacific Region                         1.6            5%           14%                  7%
          Japan                                  1.5            5%          (5)%                 (3)%
          Canada & Latin America Region          0.9            3%           10%                  8%
         Total Market                         $31.6          100%           11%                   9%




__________________________________
Fact Book               2007-2008                                                                            17
Orthopaedic Implant Segment Overview
                        2007 Worldwide Reconstructive Market


                                                                         Knees



         Extremities &
         Bone Cement




                                          Hips




                                       Market Size:         $11.8 Billion
                                       $ Growth:            12%
                                       Stryker Growth:      12%
                                       Stryker participates in all segments above



                                                                         Estimated
                                                                        Market Share
                            Company
                            Zimmer                                           26%
                            J&J                                              21%
                            Stryker                                          20%
                            Smith & Nephew*                                  12%
                            Biomet                                           10%
                            Other                                            11%

                         * Proforma




__________________________________
Fact Book               2007-2008                                                      18
Orthopaedic Implant Segment Overview
                        2007 Worldwide Spinal Market

                                                        Vertebral Compression
                                                              Fractures               Electrical
                                                                                     Stimulation

                         Cervical




               Interbody
                Devices




                                                                                           Thoracolumbar




                                            Market Size:         $5.1 Billion
                                            $ Growth:            11%
                                            Stryker Growth:      24%
                                            Stryker participates in shaded areas above




                                                                             Estimated
                                                                            Market Share
                                       Company
                                                                                  41%
                                       Medtronic*
                                                                                  16%
                                       J&J
                                                                                  13%
                                       Synthes
                                                                                   9%
                                       Stryker
                                                                                   4%
                                       Biomet
                                                                                   4%
                                       Zimmer
                                                                                  13%
                                       Other

                                     * Proforma


__________________________________
Fact Book               2007-2008                                                                          19
Orthopaedic Implant Segment Overview
            2007 Worldwide Trauma & Craniomaxillofacial Market

                               Upper Extremity
                                                                                                 Hip Fracture


                    Foot,
                 Deformities,
                  Pediatric




                    Craniomaxillofacial &                                                       Lower Extremity
                          Neuro




                                             Market Size:         $4.4 Billion
                                             $ Growth:            12%
                                             Stryker Growth:      18%
                                             Stryker participates in all segments above



                                                                               Estimated
                                                                              Market Share
                                       Company
                                     Synthes                                              41%
                                     Stryker                                              17%
                                     Smith & Nephew*                                      9%
                                     J&J                                                  6%
                                     Zimmer                                               5%
                                     Biomet                                               4%
                                     Other                                                18%

                                     * Proforma




__________________________________
Fact Book               2007-2008                                                                                 20
Orthopaedic Implant Segment Overview
            2007 Worldwide Orthobiologics Market
                               Blood Based &
                                                                                Allograft
                               Ortho Stem Cells




                Synthetics




            Demineralized
             Bone Matrix
                                                                                            Growth Factors




                                            Market Size:         $2.5 Billion
                                            $ Growth:            13%
                                            Stryker Growth:      24%
                                            Stryker participates in shaded areas above



                                                                    Estimated
                                                                   Market Share
                                Company
                                Medtronic                               36%
                                Synthes                                   7%
                                J&J                                       5%
                                Stryker                                   5%
                                Osteotech                                 4%
                                Other                                    43%




__________________________________
Fact Book               2007-2008                                                                            21
MedSurg Equipment Segment Overview
            2007 Worldwide Operating Room Equipment Market



                        Surgical
                                                                                        Navigation
                       Equipment




                                                                                            Powered Instruments




                                         Market Size:         $3.0 Billion
                                         $ Growth:            11%
                                         Stryker Growth:      19%
                                         Stryker participates in all segments above




                                                                              Estimated
                                                                             Market Share
                               Company
                               Stryker                                            33%
                               Medtronic                                           8%
                               Zimmer                                              8%
                               Conmed                                              5%
                               J&J                                                 3%
                               Other                                              43%


__________________________________
Fact Book               2007-2008                                                                                 22
MedSurg Equipment Segment Overview
                          2007 Worldwide Endoscopy Market
                                                                                                                Other
                                                                                  Other                  Including Sutures,
                                                                                                       Suture instrumentation,
                                                                                                          Surgical staples,
                                                                                                           GI tract stents


         lexible Scopes
 Flexible Scopes




                                                                                                         Cameras

                                                                                                       Cameras
                                                                                                     Video Support
               Disposables
                   Disposables
                                                                                                  Video Support

                                                                                      Rigid Electrosurgical
                                                                                            Electrosurgical
                                                                                            Scopes
                                                                            Rigid Scopes
                                                      Implants &
                                                      Instruments ments
                                                       Implants & Instru



                                          Market Size:          $16.5 Billion
                                          $ Growth:             12%
                                          Stryker Growth:       21%
                                          Stryker participates in shaded areas above



                                                                            Estimated
                                                                           Market Share
                                  Company
                                                                                25%
                                  J&J
                                                                                18%
                                  Olympus
                                                                                15%
                                  Covidien
                                                                                9%
                                  Boston Scientific
                                                                                5%
                                  Stryker
                                                                                4%
                                  Smith & Nephew
                                                                                4%
                                  Karl Storz
                                                                                20%
                                  Other

__________________________________
Fact Book                 2007-2008                                                                                         23
MedSurg Equipment Segment Overview
                        2007 North American Patient Handling Market
                                                Patient Handling
                                                    Recovery
                                                    Transport
                                                     Surgical
                                                                                     Rentals
                                 EMS




                Furniture




                                                                   Patient Room
                                                                     Med/Surg
                                                                     Maternity
                                                                    Critical Care
                                                                     Furniture


                                       Market Size:          $1.8 Billion
                                       $ Growth:             8%
                                       Stryker Growth:       16%
                                       Stryker participates in shaded areas above


                                                                       Estimated
                                     Company                          Market Share
                                     Hill-Rom                               46%
                                     Stryker                                27%
                                     KCI                                    10%
                                     Ferno-Washington                       2%
                                     Other                                  15%

__________________________________
Fact Book               2007-2008                                                              24
This page intentionally left blank.
Joint Replacements

                           Trauma, Extremities and Deformities

                           Craniomaxillofacial

                           Spine

                           Biologics

                           Surgical Procedures

                           Neuro & ENT

                           Interventional Spine

                           Navigation

                           Endoscopy

                           Communications

                           Imaging

                           Patient Handling Equipment

                           EMS Equipment




Copyright © 2008 Stryker
Printed in USA

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Stryker FactBook0708

  • 1. Fact Book 2007-2008 Investor Relations Katherine A. Owen Vice President, Strategy and Investor Relations Public & Media Relations J. Patrick Anderson Vice President, Corporate Affairs 2825 Airview Boulevard Kalamazoo, MI 49002 t: 269 385 2600
  • 2. Table of Contents Stryker Overview Company Leadership............................................................................................................ 2 Summary of Results Years Ending December 31 ................................................................ 3 Net Sales as Reported........................................................................................................... 4 Net Earnings as Reported ..................................................................................................... 5 Adjusted Net Earnings from Continuing Operations............................................................ 6 Diluted Net Earnings per Share as Reported ........................................................................ 7 Adjusted Diluted Net Earnings per Share from Continuing Operations............................... 8 2007 Product Portfolio Sales................................................................................................ 9 2007 Orthopaedic Implant Product Sales ............................................................................. 10 2007 MedSurg Equipment Sales .......................................................................................... 11 2007 Sales by Geography..................................................................................................... 12 Market Segment Overview Medical Technology Market Overview 2007 Worldwide Market ...................................................................................................... 14 Orthopaedic Market Segment Overview 2007 Worldwide Market by Product .................................................................................... 15 2007 Worldwide Market by Company ................................................................................. 16 2007 Worldwide Market by Geography............................................................................... 17 Orthopaedic Implant Segment Overview 2007 Worldwide Reconstructive Market.............................................................................. 18 2007 Worldwide Spinal Market ........................................................................................... 19 2007 Worldwide Trauma & Craniomaxillofacial Market .................................................... 20 2007 Worldwide Orthobiologics Market.............................................................................. 21 MedSurg Equipment Segment Overview 2007 Worldwide Operating Room Equipment Market ........................................................ 22 2007 Worldwide Endoscopy Market.................................................................................... 23 2007 North American Patient Handling Market................................................................... 24 __________________________________ Fact Book 2007-2008
  • 3. Stryker Overview _______________________ Fact Book 2007-2008 1
  • 4. Company Leadership John W. Brown Chairman of the Board Stephen P. MacMillan President and Chief Executive Officer J. Patrick Anderson Vice President, Corporate Affairs Dean H. Bergy Vice President and Chief Financial Officer Xavier Berling Representative Director and President, Japan Patrick J. Beyer President, EMEA (Europe, Middle East, Africa) Lonny J. Carpenter Vice President and General Manager, Medical James L. Cunniff President, Pacific William R. Enquist President, Global Endoscopy Andrew Fox-Smith President, International Curtis E. Hall, Esq. Vice President and General Counsel Curt R. Hartman President, Global Instruments Stephen Si Johnson Vice President, Group President, MedSurg James E. Kemler Vice President, Group President, Biotech, Osteosynthesis and Development Ronald L. Lancaster Vice President, Development Edward B. Lipes Executive Vice President Lee D. Lovely Vice President and General Manager, Canada and Latin America Eric Lum Vice President, Tax Vivian Masson President, Osteosynthesis Michael P. Mogul President, Orthopaedics Katherine A. Owen Vice President, Strategy and Investor Relations James B. Praeger Controller Michael W. Rude Vice President, Human Resources Timothy J. Scannell President, Spine Elizabeth A. Staub Vice President, Regulatory Affairs and Quality Assurance Bronwen R. Taylor Vice President, Internal Audit and Compliance Thomas R. Winkel Vice President and Secretary Bryant S. Zanko Vice President, Business Development _______________________ Fact Book 2007-2008 2
  • 5. Stryker Overview Summary of Results Years Ending December 31 As Reported 2007 2006 % Change Net Sales $6,001 $5,147 17% Net Earnings 1,017 778 31% Diluted Net Earnings per Share 2.44 1.89 29% Dividends per Share 0.33 0.22 50% Adjusted Results 2007 2006 % Change Net Sales $6,001 $5,147 17% Adjusted Net Earnings from Continuing Operations¹ 999 824 21% Adjusted Diluted Net Earnings per Share from Continuing Operations² 2.40 2.00 20% Adjusted Return on Sales 17% 16% Adjusted Return on Average Equity 21% 22% $ in millions (except per share amounts) 1. See page 6 for the reconciliation to adjusted net earnings from continuing operations. 2. See page 8 for the reconciliation to adjusted diluted net earnings per share from continuing operations. __________________________________ Fact Book 2007-2008 3
  • 6. Stryker Overview Net Sales as Reported $ in Millions 6,500 6,001 6,000 5,147 5,500 5,000 4,609 4,500 4,017 4,000 3,402 3,500 2,810 3,000 2,421 2,142 2,500 1,982 2,000 1,500 987 1,000 500 0 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 Annual Growth Rate 12% 101% 8% 13% 16% 21% 18% 15% 12% 17% __________________________________ Fact Book 2007-2008 4
  • 7. Stryker Overview Net Earnings as Reported $ in Millions 1,100 1,017 1,000 900 778 800 644 700 600 440 500 434 400 329 255 300 211 200 58 100 14 0 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 Annual Growth Rate (53)% (76)% N.M. 21% 29% 32% 1% 46% 21% 31% N.M. = Not Meaningful __________________________________ Fact Book 2007-2008 5
  • 8. Stryker Overview Adjusted Net Earnings from Continuing Operations* $ in Millions 1,100 999 1,000 900 824 800 676 700 559 600 500 419 325 400 257 300 210 162 134 200 100 0 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 Annual Growth Rate 13% 21% 29% 22% 26% 29% 33% 21% 22% 21% * RECONCILIATION TO ADJUSTED NET EARNINGS FROM CONTINUING OPERATIONS ($ Millions) 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 Reported Net Earnings $57.5 $13.7 $211.1 $255.2 $328.5 $434.4 $440.0 $643.6 $777.7 $1,017.4 Adjustments (Net of Tax): Inventory Step-Up in Cost of Sales 5.1 129.0 - - - - - - - - Goodwill/Workforce Intangible Amortization 2.2 10.1 10.9 11.0 - - - - - - Purchased In-Process Research & Development 55.0 - - - - - 120.8 15.9 52.7 - Income Taxes on Repatriation of Foreign Earnings - - - - - - - 27.4 - - Acquisition-Related, Restructuring and Special Charges (Credits) 21.8 12.3 (0.7) 0.4 11.5 - - - - - Extraordinary Loss - - - 4.8 - - - - - - Intangible Asset Impairment - - - - - - - - - 12.7 Net Earnings and Gain on Sale of Discontinued Operations (7.2) (2.8) (11.4) (14.6) (15.2) (15.8) (2.0) (11.1) (6.3) (30.7) Subtotal 76.9 148.6 (1.2) 1.6 (3.7) (15.8) 118.8 32.2 46.4 (18.0) Adjusted Net Earnings from Continuing Operations $134.4 $162.3 $209.9 $256.8 $324.8 $418.6 $558.8 $675.8 $824.1 $999.4 __________________________________ Fact Book 2007-2008 6
  • 9. Stryker Overview Diluted Net Earnings per Share as Reported 2.44 $2.60 $2.40 $2.20 1.89 $2.00 1.57 $1.80 $1.60 $1.40 1.08 1.07 $1.20 0.81 $1.00 0.63 $0.80 0.52 $0.60 $0.40 0.15 0.03 $0.20 $0.00 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 Annual Growth Rate (52)% (80)% N.M. 21% 29% 32% 1% 45% 20% 29% N.M. = Not Meaningful __________________________________ Fact Book 2007-2008 7
  • 10. Stryker Overview Adjusted Diluted Net Earnings per Share from Continuing Operations* $2.60 2.40 $2.40 $2.20 2.00 $2.00 1.65 $1.80 $1.60 1.37 $1.40 1.03 $1.20 $1.00 0.80 0.63 $0.80 0.52 0.41 $0.60 0.34 $0.40 $0.20 $0.00 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 Annual 13% 21% 27% 21% 27% 29% 33% 20% 21% 20% Growth Rate * RECONCILIATION TO ADJUSTED DILUTED NET EARNINGS PER SHARE FROM CONTINUING OPERATIONS 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 Reported Diluted Net Earnings per Share $0.15 $0.03 $0.52 $0.63 $0.81 $1.07 $1.08 $1.57 $1.89 $2.44 Adjustments (Net of Tax): Inventory Step-Up in Cost of Sales 0.01 0.32 - - - - - - - - Goodwill/Workforce Intangible Amortization 0.01 0.03 0.03 0.03 - - - - - - Purchased In-Process Research & Development 0.14 - - - - - 0.30 0.04 0.13 - Income Taxes on Repatriation of Foreign Earnings - - - - - - - 0.07 - - Acquisition-Related, Restructuring and Special Charges (Credits) 0.06 0.03 - - 0.03 - - - - - Extraordinary Loss - - - 0.01 - - - - - - Intangible Asset Impairment - - - - - - - - - 0 .03 Net Earnings and Gain on Sale of Discontinued Operations (0.02) (0.01) (0.03) (0.04) (0.04) (0.04) - (0.03) (0.02) (0.07) Subtotal 0.20 0.37 - - (0.01) (0.04) 0.29 0.08 0.11 (0.04) Adjusted Diluted Net Earnings per Share from Continuing Operations $0.34 $0.41 $0.52 $0.63 $0.80 $1.03 $1.37 $1.65 $2.00 $2.40 __________________________________ Fact Book 2007-2008 8
  • 11. Stryker Overview 2007 Product Portfolio Sales Orthopaedic Implants Trauma and 60% Craniomaxillofacial Spinal Hips Other Reconstructive Medical Beds & Stretchers Knees Endoscopy MedSurg Operating Room Equipment Equipment 40% MedSurg Equipment Orthopaedic Implants $ in Millions Constant Currency 2007 2006 % Change Orthopaedic Implants $3,571 $3,110 15% 12% MedSurg Equipment 2,430 2,037 19% 17% Total $6,001 $5,147 17% 14% __________________________________ Fact Book 2007-2008 9
  • 12. Stryker Overview 2007 Orthopaedic Implant Product Sales Knees Other Reconstructive Trauma and Craniomaxillofacial Hips Spinal 60% of Total Company Sales $ in Millions 4,000 3,571 3,500 3,110 2,850 3,000 2,556 2,500 2,192 1,798 2,000 1,537 1,406 1,334 1,500 1,191* 1,000 500 0 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 Annual Growth Rate N.M. 12% 5% 9% 17% 22% 17% 12% 9% 15% * Proforma results assuming 12 months of sales for both Stryker and Howmedica. Orthopaedic Implant product sales as reported in 1998 were $410 million. N.M. = Not Meaningful __________________________________ Fact Book 2007-2008 10
  • 13. Stryker Overview 2007 MedSurg Equipment Sales Operating Room Equipment Medical Beds & Stretchers Endoscopy 40% of Total Company Sales $ in Millions 2,430 2,400 2,037 2,100 1,759 1,800 1,461 1,500 1,210 1,012 1,200 884 900 736 648 597* 600 300 0 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 Annual N.M. 9% 14% 20% 14% 20% 21% 20% 16% 19% Growth Rate * Proforma results assuming 12 months of sales for both Stryker and Howmedica. MedSurg equipment sales as reported in 1998 were $577 million. N.M. = Not Meaningful __________________________________ Fact Book 2007-2008 11
  • 14. Stryker Overview 2007 Sales by Geography United States EMEA Region Japan Pacific Region Canada & Latin America Region United States: 64% International: 36% $ in Millions Constant Currency 2007 2006 % Change United States $3,851 $3,298 17% 17% International 2,150 1,849 16% 9% Total $6,001 $5,147 17% 14% __________________________________ Fact Book 2007-2008 12
  • 15. Market Segment Overview The data set forth in this Market Segment Overview is derived, in part, from third party sources, including publicly reported information to the extent available. We are unable to independently verify the information that comes from third party sources. Moreover, the total market segment size and the market segment share of the companies included is necessarily based on estimates as many companies do not report the specific information identified by market segments as classified in this Market Segment Overview. The data presented is based on our definition of the market segments. Accordingly, while we believe that this data is representative, it is presented only to provide the reader with a broad overview and should not be relied on. __________________________________ Fact Book 2007-2008 13
  • 16. Medical Technology Market Overview 2007 Worldwide Market Top Medical Technology Companies ($ in Billions) Total Total Estimated Estimated Med Tech Company Sales Sales Rank Company 1. J&J 21.7 61.1 2. G.E. 17.0 172.7 3. Siemens 14.2 101.6 4. Medtronic 12.9 12.9 5. Baxter 11.3 11.3 6. Covidien 10.4 10.4 7. Philips 8.9 36.7 8. Boston Scientific 8.4 8.4 9. Abbott 6.3 25.9 10. Stryker 6.0 6.0 11. Becton Dickinson 5.5 6.6 12. Cardinal Health 5.0 89.4 13. B. Braun 4.5 4.5 14. 3M 4.0 24.5 15. Zimmer 3.9 3.9 16. St. Jude 3.8 3.8 17. Smith & Nephew 3.4 3.4 17. Hospira 3.4 3.4 19. Olympus 2.9 9.7 20. Beckman Coulter 2.8 2.8 21. Synthes 2.7 2.7 22. Terumo 2.6 2.6 22. Fresenius 2.6 9.7 24. Onex 2.5 2.5 24. Alcon 2.5 5.6 26. C.R. Bard 2.2 2.2 26. Biomet 2.2 2.2 28. Dentsply 2.0 2.0 29. Varian Medical 1.8 1.8 __________________________________ Fact Book 2007-2008 14
  • 17. Orthopaedic Market Segment Overview 2007 Worldwide Market by Product Arthroscopy Orthobiologics Hyaluronic Acid Other Operating Room Equipment Trauma and Craniomaxillofacial Reconstructive Joint Replacement Spinal Market Size: $31.6 Billion $ Growth: 11% Stryker participates in shaded areas above Estimated ($ in Billions) Percent Growth of Market Rate Implants Sales Knees $5.9 19% 11% Spinal Devices 5.1 16% 11% Hips 5.0 16% 11% Trauma & Craniomaxillofacial 4.4 14% 12% Orthobiologics 2.5 8% 13% Hyaluronic Acid 1.0 3% 9% Extremities & Bone Cement 0.9 3% 19% Subtotal $24.8 79% 12% Percent Growth of Market Rate Equipment & Other Sales Operating Room Equipment $3.0 9% 11% Arthroscopy 2.4 8% 11% Other 1.4 4% 3% Subtotal $6.8 21% 9% Total Orthopaedic Market $31.6 100% 11% __________________________________ Fact Book 2007-2008 15
  • 18. Orthopaedic Market Segment Overview 2007 Worldwide Market by Company Other Stryker Biomet Smith & Nephew Synthes J&J Medtronic Zimmer Market Size: $31.6 Billion $ Growth: 11% Estimated ($ in Billions) Orthopaedic Orthopaedic Orthopaedic Sales Market Share Growth Rate Company Total Sales Stryker $6.0 $5.0 16% 16% J&J 61.1 4.0 13% 10% Zimmer 3.9 3.7 12% 11% Medtronic* 12.9 3.3 10% 9% Synthes 2.7 2.7 9% 13% Smith & Nephew* 3.4 2.6 8% 16% Biomet 2.2 1.9 6% 5% Other N/A 8.4 26% 9% Total Market N/A $31.6 100% 11% * Proforma __________________________________ Fact Book 2007-2008 16
  • 19. Orthopaedic Market Segment Overview 2007 Worldwide Market by Geography United States EMEA Region Japan Pacific Region Canada & Latin America Region Market Size: $31.6 Billion $ Growth: 11% Stryker participates in all geographic markets Estimated ($ in Billions) Percent of Growth Constant Currency Geographic Market Market Rate Growth Rate 2007 United States $19.7 62% 10% 10% EMEA Region 7.9 25% 16% 7% Pacific Region 1.6 5% 14% 7% Japan 1.5 5% (5)% (3)% Canada & Latin America Region 0.9 3% 10% 8% Total Market $31.6 100% 11% 9% __________________________________ Fact Book 2007-2008 17
  • 20. Orthopaedic Implant Segment Overview 2007 Worldwide Reconstructive Market Knees Extremities & Bone Cement Hips Market Size: $11.8 Billion $ Growth: 12% Stryker Growth: 12% Stryker participates in all segments above Estimated Market Share Company Zimmer 26% J&J 21% Stryker 20% Smith & Nephew* 12% Biomet 10% Other 11% * Proforma __________________________________ Fact Book 2007-2008 18
  • 21. Orthopaedic Implant Segment Overview 2007 Worldwide Spinal Market Vertebral Compression Fractures Electrical Stimulation Cervical Interbody Devices Thoracolumbar Market Size: $5.1 Billion $ Growth: 11% Stryker Growth: 24% Stryker participates in shaded areas above Estimated Market Share Company 41% Medtronic* 16% J&J 13% Synthes 9% Stryker 4% Biomet 4% Zimmer 13% Other * Proforma __________________________________ Fact Book 2007-2008 19
  • 22. Orthopaedic Implant Segment Overview 2007 Worldwide Trauma & Craniomaxillofacial Market Upper Extremity Hip Fracture Foot, Deformities, Pediatric Craniomaxillofacial & Lower Extremity Neuro Market Size: $4.4 Billion $ Growth: 12% Stryker Growth: 18% Stryker participates in all segments above Estimated Market Share Company Synthes 41% Stryker 17% Smith & Nephew* 9% J&J 6% Zimmer 5% Biomet 4% Other 18% * Proforma __________________________________ Fact Book 2007-2008 20
  • 23. Orthopaedic Implant Segment Overview 2007 Worldwide Orthobiologics Market Blood Based & Allograft Ortho Stem Cells Synthetics Demineralized Bone Matrix Growth Factors Market Size: $2.5 Billion $ Growth: 13% Stryker Growth: 24% Stryker participates in shaded areas above Estimated Market Share Company Medtronic 36% Synthes 7% J&J 5% Stryker 5% Osteotech 4% Other 43% __________________________________ Fact Book 2007-2008 21
  • 24. MedSurg Equipment Segment Overview 2007 Worldwide Operating Room Equipment Market Surgical Navigation Equipment Powered Instruments Market Size: $3.0 Billion $ Growth: 11% Stryker Growth: 19% Stryker participates in all segments above Estimated Market Share Company Stryker 33% Medtronic 8% Zimmer 8% Conmed 5% J&J 3% Other 43% __________________________________ Fact Book 2007-2008 22
  • 25. MedSurg Equipment Segment Overview 2007 Worldwide Endoscopy Market Other Other Including Sutures, Suture instrumentation, Surgical staples, GI tract stents lexible Scopes Flexible Scopes Cameras Cameras Video Support Disposables Disposables Video Support Rigid Electrosurgical Electrosurgical Scopes Rigid Scopes Implants & Instruments ments Implants & Instru Market Size: $16.5 Billion $ Growth: 12% Stryker Growth: 21% Stryker participates in shaded areas above Estimated Market Share Company 25% J&J 18% Olympus 15% Covidien 9% Boston Scientific 5% Stryker 4% Smith & Nephew 4% Karl Storz 20% Other __________________________________ Fact Book 2007-2008 23
  • 26. MedSurg Equipment Segment Overview 2007 North American Patient Handling Market Patient Handling Recovery Transport Surgical Rentals EMS Furniture Patient Room Med/Surg Maternity Critical Care Furniture Market Size: $1.8 Billion $ Growth: 8% Stryker Growth: 16% Stryker participates in shaded areas above Estimated Company Market Share Hill-Rom 46% Stryker 27% KCI 10% Ferno-Washington 2% Other 15% __________________________________ Fact Book 2007-2008 24
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  • 28. Joint Replacements Trauma, Extremities and Deformities Craniomaxillofacial Spine Biologics Surgical Procedures Neuro & ENT Interventional Spine Navigation Endoscopy Communications Imaging Patient Handling Equipment EMS Equipment Copyright © 2008 Stryker Printed in USA