Nordion Third Quarter Fiscal 2012 Earnings Conference Call - Slide Presentation

1. Third Quarter Fiscal 2012
Earnings Conference Call
Sept. 6, 2012
www.nordion.com

2. Caution on Forward Looking Statements
This presentation contains forward-looking statements, within the meaning of applicable securities laws, including under
applicable Canadian securities laws and the “safe harbor” provisions of the United States Private Securities Litigation Reform Act
of 1995. These statements can be identified by expressions of belief, expectation or intention, as well as those statements that are
not historical fact. The words “may”, “will”, “could”, “should”, “would”, “outlook”, “believe”, “plan”, “anticipate”, “estimate”, “project”,
“expect”, “intend”, “indicate”, “forecast”, “objective”, “optimistic”, and similar words and expressions are also intended to identify
forward-looking statements. Forward-looking statements are necessarily based on estimates and assumptions made by us in light
of our experience and our perception of historical trends, current conditions and expected future developments, as well as other
factors that we believe are appropriate in the circumstances, but which are inherently subject to significant business, political,
economic and competitive uncertainties and contingencies. Known and unknown factors could cause actual results to differ
materially from those projected in the forward-looking statements. Accordingly, this presentation is subject to the disclaimer and
qualified by the assumptions, qualifications and risk factors referred to in our 2011 Annual Information Form (AIF). Factors that
could cause actual results or events to differ materially from current expectations include, but are not limited to, fluctuations in
supply and demand, pricing pressures and rising costs, changes in currency and exchange rates and potential adverse
developments in new and pending legal proceedings or regulatory investigations, as well as the risk factors which are described
in section 5 of our 2011 AIF and in our other filings with the Canadian provincial securities commissions and the US Securities
and Exchange Commission, and our success in anticipating and managing those risks. We caution readers not to place undue
reliance on the Company’s forward-looking statements, as a number of factors could cause our actual results, performance or
achievements to differ materially from the beliefs, plans, objectives, expectations, anticipations, estimates and intentions
expressed in such forward-looking statements. The Company does not assume any obligation to update or revise any forward-
looking statements, whether written or oral, that may be made from time to time by us or on our behalf, except as required by
applicable law.
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3. Non GAAP Information
To supplement the financial measures prepared in accordance with generally accepted accounting principles (GAAP), the
company uses non-GAAP financial measures such as adjusted net income and adjusted earnings per share. Non-GAAP financial
measures exclude certain items, such as restructuring charges and recovery, change in fair value of embedded derivatives, AECL
arbitration and legal fees, loss and gains on sales of investments, loss or gains on discontinued operations, and tax effects on
adjusted items. Management uses non-GAAP financial measures internally for strategic decision making, forecasting future
results and evaluating current performance. By disclosing non-GAAP financial measures, management intends to provide
investors with a meaningful, consistent comparison of the company's core operating results and trends for the periods presented.
Non-GAAP financial measures are not prepared in accordance with GAAP. Therefore, the information is not necessarily
comparable to other companies and should be considered as a supplement to, not a substitute for, or superior to, the
corresponding measures calculated in accordance with GAAP.
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4. Third Quarter Fiscal 2012
Earnings Conference Call
Steve West
Chief Executive Officer
Sept. 6, 2012
www.nordion.com

5. Q3 2012 Results
Targeted Therapies Sterilization Technologies Medical Isotopes
Segmented Revenue Segmented Earnings*
(US$ millions) (US$ millions)
80 25
70
20
60
50 32.1 32.1 14.4
15 15.3
40
10
30
21.4 19.7
20 5.3
5 4.8
10
13.3 15.3
3.6
2.1
0 0
2011 2012 2011 2012
Q3 Q3
* Excludes corporate segmented loss 5

6. Arbitration Timeline
February 2006- May 16, 2008 -
Nordion exchanged all of its ownership AECL and the Government of
rights and obligations in the MAPLE Canada announced their intention
Facilities for a new 40 year long term to discontinue the MAPLE project October 21, 2011 - September 10, 2012 -
supply of isotopes to be produced in the without prior notice to or Ongoing arbitration with Nordion to announce
now AECL-owned MAPLE Facilities. consultation with MDS AECL schedule extended. arbitration panel decision
1998- July 2008 - May 25, 2012 -
MDS entered into an agreement with AECL Nordion served AECL with a notice of Final arguments completed.
for the design, development and arbitration proceedings seeking an
construction of two new nuclear reactors order to compel AECL to fulfill its
and processing facility, known as the contractual obligations.
MAPLE project.
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7. Internal Investigation
• Discovered through the Company’s own internal review as part of
Nordion’s compliance program
• Voluntarily disclosed this issue to regulatory and enforcement
authorities
• Ceased payments to and terminated our contractual arrangements
with the affected foreign supplier
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8. Targeted Therapies: TheraSphere®
• 13% year-over-year • Growth of ~15%
revenue growth compared to F2011
2012 OUTLOOK
Q3 RESULTS
• Drove new account • Continue to drive
growth in key market education,
markets training, sales
• TheraSphere growth
demonstrated • Continue to assess
promising results in and expand IO
investigator initiated portfolio
independent trials
STRATEGY
Establish a leadership position in the
emerging interventional oncology (IO) market
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9. Sterilization Technologies
• $32.1 million in • Segment revenue
revenues expected to be ~10%
2012 OUTLOOK
lower than F2011
Q3 RESULTS
• Supply agreements
representing two-thirds • Co-60 revenue is
of our 2012 Co-60 expected to be
volumes significantly higher in
• Signed multi-year the second half of 2012
supply agreement in compared with the first
June with Japan half
Radioisotope
Association
STRATEGY
Maintain the value and selectively
invest in growth opportunities
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10. Medical Isotopes
• $19.7 million in • Solidify long-term
2012 OUTLOOK
revenues supply
• NRU one-month Q3 RESULTS • Opportunistically
planned shutdown as grow our customer
well as unplanned base for Medical
supply interruptions in Isotopes as potential
Q2 and Q3 impacted new customers
revenues continue to diversify
• Nordion is an their supply
important player in the
medical isotopes
supply chain – vital to
physicians and
patients around the
world
STRATEGY
Optimize the value of the business
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11. Third Quarter Fiscal 2012
Earnings Conference Call
Peter Dans
Chief Financial Officer
Sept. 6, 2012
www.nordion.com

12. Q3 2012 Financial Performance
Segmented Revenue
(US$ millions)
CONSOLIDATED RESULTS 80
70
60
• Revenue of $67.1 million 50 32.1 32.1
40
• GAAP net income of $12.3 million 30
21.4 19.7
20
• Adjusted net income of $15.5 million 10 15.3
13.3
0
2011 2012
Q3
Segmented Earnings*
SEGMENT RESULTS (US$ millions)
25
• 13% revenue growth in TheraSphere 20
14.4
• Co-60 shipments in Q3 higher than first 15 15.3
half of fiscal 2012 10
5.3
5
• NRU shutdowns impacting volumes for 4.8
3.6
0 2.1
Mo-99 2011 2012
Q3
Targeted Sterilization
Medical Isotopes
Therapies Technologies
* Excludes corporate segmented loss 12

13. Strong Balance Sheet
SOLID CASH AND LIQUIDITY POSITION
REFLECTED IN NOTABLE FINANCIAL ASSETS:
Cash & cash AECL note Deferred
equivalents receivable tax asset
$81.9 $2.3 $76.7
$US millions (as of July 31, 2012) 13

14. Outlook
2012 FINANCIAL OUTLOOK
HIGHLIGHTS
• TheraSphere, Cobalt-60 and Moly 99 are
expected to:
– Contribute about 80% of our revenues
– Greater than 90% of our segment gross
margins
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15. Third Quarter Fiscal 2012
Earnings Conference Call
Sept. 6, 2012
www.nordion.com