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<div style="font-family: 'Times New Roman',Times,serif">
<div align="left" style="font-size: 10pt; margin-top: 12pt"><b>(9) Business Combinations</b>
</div>
<div align="left" style="font-size: 10pt; margin-top: 6pt">     On January 1, 2009, we adopted a new accounting standard issued by the Financial Accounting
Standards Board, or FASB, related to accounting for business combinations using the acquisition
method of accounting (previously referred to as the purchase method). Acquisitions consummated
prior to January 1, 2009 were accounted for in accordance with the previously applicable guidance.
In accordance with the new accounting standard, we expensed $2.0 million and $5.9 million of
acquisition-related costs during the three and six months ended June 30, 2010, respectively,
primarily in general and administrative expense. We expensed $1.7 million and $6.4 million of
acquisition-related costs during the three and six months ended June 30, 2009, respectively, in
general and administrative expense. Included in the $6.4 million of expense during the six months
ended June 30, 2009, was $3.8 million of costs associated with acquisition-related activity for
transactions not consummated prior to January 1, 2009.
</div>
<div align="left" style="font-size: 10pt; margin-top: 6pt">     Our business acquisitions have historically been made at prices above the fair value of the
acquired net assets, resulting in goodwill, based on our expectations of synergies of combining the
businesses. These synergies include elimination of redundant facilities, functions and staffing;
use of our existing commercial infrastructure to expand sales of the acquired businesses’ products;
and use of the commercial infrastructure of the acquired businesses to cost-effectively expand
product sales.
</div>
<div align="left" style="font-size: 10pt; margin-top: 6pt">     Allocation of the purchase price for acquisitions is based on estimates of the fair value of
the net assets acquired and, for acquisitions completed within the past year, is subject to
adjustment upon finalization of the purchase price allocation. We are not aware of any information
that indicates the final purchase price allocations will differ materially from the preliminary
estimates. Determination of the estimated useful lives of the individual categories of intangible
assets was based on the nature of the applicable intangible asset and the expected future cash
flows to be derived from the intangible asset. Amortization of intangible assets with definite
lives is recognized over the shorter of the respective lives of the agreement or the period of time
the assets are expected to contribute to future cash flows. We
amortize our finite-lived intangible assets on patterns in which the
economic benefits are expected to be realized.
</div>
<div align="left" style="font-size: 10pt; margin-top: 6pt">     <i>(a) Acquisitions in 2010</i>
</div>
<div align="left" style="font-size: 10pt; margin-top: 6pt">     (i) Acquisition of a privately-owned research and development operation
</div>
<div align="left" style="font-size: 10pt; margin-top: 6pt">     On March 11, 2010, we acquired a privately-owned research and development operation. The
preliminary aggregate purchase price was $70.6 million, which consisted of an initial cash payment
totaling $35.0 million and a contingent consideration obligation of up to $125.0 million with an
acquisition date fair value of $35.6 million.
</div>
<div align="left" style="font-size: 10pt; margin-top: 6pt">     We determined the acquisition date fair value of the contingent consideration obligation based
on a probability-weighted approach derived from earn-out criteria estimates and the overall
likelihood of achieving the targets before the corresponding delivery dates. The fair value
measurement is based on significant inputs not observable in the market and thus represents a Level
3 measurement, as defined in fair value measurement accounting. The resultant
probability-weighted
milestone payments were originally discounted using a discount rate of 6%. At each reporting date,
we revalue the contingent consideration obligation to the reporting date fair value and record
increases and decreases in the fair value as income or expense within general and administrative
expense in our consolidated statements of operations. Increases or decreases in the fair value of
the contingent consideration obligations may
result from changes in discount periods and rates, changes in the timing and amount of revenue
estimates and changes in probability assumptions with respect to the likelihood of achieving the
various earn-out criteria. We recorded expense of approximately $1.3 million and $1.4 million in
our consolidated statement of operations during the three and six months ended June 30, 2010,
respectively, as a net result of a decrease in the discount period and
fluctuations in the discount rate since the acquisition date. As of June 30, 2010, the fair value of the
contingent consideration obligation was approximately $37.0 million.
</div>
<div align="left" style="font-size: 10pt; margin-top: 6pt">     Included in our consolidated statements of operations for both the three and six months ended
June 30, 2010 is revenue totaling approximately $0.1 million related to this acquired operation.
The operating results of this acquired operation are included in our professional diagnostics
reporting unit and business segment.
</div>
<div align="left" style="font-size: 10pt; margin-top: 6pt">     A summary of the preliminary aggregate purchase price allocation for this acquisition is as
follows (in thousands):
</div>
<div align="center">
<table style="font-size: 10pt; text-align: left" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<tr valign="bottom">
<td width="88%"> </td>
<td width="5%"> </td>
<td width="1%"> </td>
<td width="5%"> </td>
<td width="1%"> </td>
</tr>
<!-- End Table Head -->
<!-- Begin Table Body -->
<tr valign="bottom" style="background: #cceeff">
<td>
<div style="margin-left:15px; text-indent:-15px">Current assets
</div></td>
<td> </td>
<td align="left">$</td>
<td align="right">373</td>
<td> </td>
</tr>
<tr valign="bottom">
<td>
<div style="margin-left:15px; text-indent:-15px">Property, plant and equipment
</div></td>
<td> </td>
<td> </td>
<td align="right">152</td>
<td> </td>
</tr>
<tr valign="bottom" style="background: #cceeff">
<td>
<div style="margin-left:15px; text-indent:-15px">Goodwill
</div></td>
<td> </td>
<td> </td>
<td align="right">61,213</td>
<td> </td>
</tr>
<tr valign="bottom">
<td>
<div style="margin-left:15px; text-indent:-15px">Intangible assets
</div></td>
<td> </td>
<td> </td>
<td align="right">15,700</td>
<td> </td>
</tr>
<tr style="font-size: 1px">
<td>
<div style="margin-left:15px; text-indent:-15px"> 
</div></td>
<td> </td>
<td nowrap="nowrap" colspan="2" align="right" style="border-top: 1px solid #000000"> </td>
<td> </td>
</tr>
<tr valign="bottom" style="background: #cceeff">
<td>
<div style="margin-left:30px; text-indent:-15px">Total assets acquired
</div></td>
<td> </td>
<td> </td>
<td align="right">77,438</td>
<td> </td>
</tr>
<tr style="font-size: 1px">
<td>
<div style="margin-left:15px; text-indent:-15px"> 
</div></td>
<td> </td>
<td nowrap="nowrap" colspan="2" align="right" style="border-top: 1px solid #000000"> </td>
<td> </td>
</tr>
<tr valign="bottom">
<td>
<div style="margin-left:15px; text-indent:-15px">Current liabilities
</div></td>
<td> </td>
<td> </td>
<td align="right">731</td>
<td> </td>
</tr>
<tr valign="bottom" style="background: #cceeff">
<td>
<div style="margin-left:15px; text-indent:-15px">Non-current liabilities
</div></td>
<td> </td>
<td> </td>
<td align="right">6,107</td>
<td> </td>
</tr>
<tr style="font-size: 1px">
<td>
<div style="margin-left:15px; text-indent:-15px"> 
</div></td>
<td> </td>
<td nowrap="nowrap" colspan="2" align="right" style="border-top: 1px solid #000000"> </td>
<td> </td>
</tr>
<tr valign="bottom">
<td>
<div style="margin-left:30px; text-indent:-15px">Total liabilities assumed
</div></td>
<td> </td>
<td> </td>
<td align="right">6,838</td>
<td> </td>
</tr>
<tr style="font-size: 1px">
<td>
<div style="margin-left:15px; text-indent:-15px"> 
</div></td>
<td> </td>
<td nowrap="nowrap" colspan="2" align="right" style="border-top: 1px solid #000000"> </td>
<td> </td>
</tr>
<tr valign="bottom" style="background: #cceeff">
<td>
<div style="margin-left:15px; text-indent:-15px">Net assets acquired
</div></td>
<td> </td>
<td> </td>
<td align="right">70,600</td>
<td> </td>
</tr>
<tr valign="bottom">
<td>
<div style="margin-left:15px; text-indent:-15px">Less:
</div></td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
</tr>
<tr valign="bottom" style="background: #cceeff">
<td>
<div style="margin-left:30px; text-indent:-15px">Fair value of contingent consideration obligation
</div></td>
<td> </td>
<td> </td>
<td align="right">35,600</td>
<td> </td>
</tr>
<tr style="font-size: 1px">
<td>
<div style="margin-left:15px; text-indent:-15px"> 
</div></td>
<td> </td>
<td nowrap="nowrap" colspan="2" align="right" style="border-top: 1px solid #000000"> </td>
<td> </td>
</tr>
<tr valign="bottom">
<td>
<div style="margin-left:15px; text-indent:-15px">Cash consideration
</div></td>
<td> </td>
<td align="left">$</td>
<td align="right">35,000</td>
<td> </td>
</tr>
<tr style="font-size: 1px">
<td>
<div style="margin-left:15px; text-indent:-15px"> 
</div></td>
<td> </td>
<td nowrap="nowrap" colspan="2" align="right" style="border-top: 3px double #000000"> </td>
<td> </td>
</tr>
<!-- End Table Body -->
</table>
</div>
<div align="left" style="font-size: 10pt; margin-top: 6pt">     The following are the intangible assets acquired and their respective amortizable lives
(dollars in thousands):
</div>
<div align="center">
<table style="font-size: 10pt; text-align: left" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<tr valign="bottom">
<td width="76%"> </td>
<td width="5%"> </td>
<td width="1%"> </td>
<td width="5%"> </td>
<td width="1%"> </td>
<td width="5%"> </td>
<td width="7%"> </td>
</tr>
<tr style="font-size: 8pt" valign="bottom">
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="2" style="border-bottom: 1px solid #000000"><b>Amount</b></td>
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" style="border-bottom: 1px solid #000000"><b>Amortizable Life</b></td>
</tr>
<!-- End Table Head -->
<!-- Begin Table Body -->
<tr valign="bottom" style="background: #cceeff">
<td>
<div style="margin-left:15px; text-indent:-15px">Core technology
</div></td>
<td> </td>
<td align="left">$</td>
<td align="right">8,600</td>
<td> </td>
<td> </td>
<td align="center" valign="top">15 years</td>
</tr>
<tr valign="bottom">
<td>
<div style="margin-left:15px; text-indent:-15px">In-process research and development
</div></td>
<td> </td>
<td> </td>
<td align="right">7,100</td>
<td> </td>
<td> </td>
<td align="center" valign="top">N/A</td>
</tr>
<tr style="font-size: 1px">
<td>
<div style="margin-left:15px; text-indent:-15px"> 
</div></td>
<td> </td>
<td nowrap="nowrap" colspan="2" align="right" style="border-top: 1px solid #000000"> </td>
<td> </td>
<td> </td>
<td align="center" valign="top"> </td>
</tr>
<tr valign="bottom" style="background: #cceeff">
<td>
<div style="margin-left:30px; text-indent:-15px">Total intangible assets
</div></td>
<td> </td>
<td align="left">$</td>
<td align="right">15,700</td>
<td> </td>
<td> </td>
<td align="center" valign="top"> </td>
</tr>
<tr style="font-size: 1px">
<td>
<div style="margin-left:15px; text-indent:-15px"> 
</div></td>
<td> </td>
<td nowrap="nowrap" colspan="2" align="right" style="border-top: 3px double #000000"> </td>
<td> </td>
<td> </td>
<td align="center" valign="top"> </td>
</tr>
<!-- End Table Body -->
</table>
</div>
<div align="left" style="font-size: 10pt; margin-top: 6pt">     We do not expect the amount allocated to goodwill to be deductible for tax purposes.
</div>
<div align="left" style="font-size: 10pt; margin-top: 6pt">     (ii) Acquisition of the ATS business
</div>
<div align="left" style="font-size: 10pt; margin-top: 6pt">     On February 17, 2010, we acquired Kroll Laboratory Specialists, Inc., headquartered in Gretna,
Louisiana, which provides forensic quality substance abuse testing products and services across the
United States. The preliminary aggregate purchase price was $109.5 million, which was paid in cash.
</div>
<div align="left" style="font-size: 10pt; margin-top: 6pt">     Included in our consolidated statements of operations for the three and six months ended June
30, 2010 is revenue totaling approximately $9.5 million and $14.3 million, respectively, related to
the acquired business, which we have subsequently renamed Alere Toxicology Services, or ATS. The
operating results of ATS are included in our professional diagnostics reporting unit and business
segment.
</div>
<div align="left" style="font-size: 10pt; margin-top: 6pt">     A summary of the preliminary aggregate purchase price allocation for this acquisition is as
follows (in thousands):
</div>
<!-- Folio -->
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</div>
<!-- PAGEBREAK -->
<div style="font-family: 'Times New Roman',Times,serif">
<div align="center" style="font-size: 10pt; margin-top: 0pt">
<b>
</b>
</div>
<div align="center">
<table style="font-size: 10pt; text-align: left" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<tr valign="bottom">
<td width="88%"> </td>
<td width="5%"> </td>
<td width="1%"> </td>
<td width="5%"> </td>
<td width="1%"> </td>
</tr>
<!-- End Table Head -->
<!-- Begin Table Body -->
<tr valign="bottom" style="background: #cceeff">
<td>
<div style="margin-left:15px; text-indent:-15px">Current assets
</div></td>
<td> </td>
<td align="left">$</td>
<td align="right">6,043</td>
<td> </td>
</tr>
<tr valign="bottom">
<td>
<div style="margin-left:15px; text-indent:-15px">Property, plant and equipment
</div></td>
<td> </td>
<td> </td>
<td align="right">3,300</td>
<td> </td>
</tr>
<tr valign="bottom" style="background: #cceeff">
<td>
<div style="margin-left:15px; text-indent:-15px">Goodwill
</div></td>
<td> </td>
<td> </td>
<td align="right">53,489</td>
<td> </td>
</tr>
<tr valign="bottom">
<td>
<div style="margin-left:15px; text-indent:-15px">Intangible assets
</div></td>
<td> </td>
<td> </td>
<td align="right">48,400</td>
<td> </td>
</tr>
<tr style="font-size: 1px">
<td>
<div style="margin-left:15px; text-indent:-15px"> 
</div></td>
<td> </td>
<td nowrap="nowrap" colspan="2" align="right" style="border-top: 1px solid #000000"> </td>
<td> </td>
</tr>
<tr valign="bottom" style="background: #cceeff">
<td>
<div style="margin-left:30px; text-indent:-15px">Total assets acquired
</div></td>
<td> </td>
<td> </td>
<td align="right">111,232</td>
<td> </td>
</tr>
<tr style="font-size: 1px">
<td>
<div style="margin-left:15px; text-indent:-15px"> 
</div></td>
<td> </td>
<td nowrap="nowrap" colspan="2" align="right" style="border-top: 1px solid #000000"> </td>
<td> </td>
</tr>
<tr valign="bottom">
<td>
<div style="margin-left:15px; text-indent:-15px">Current liabilities
</div></td>
<td> </td>
<td> </td>
<td align="right">1,693</td>
<td> </td>
</tr>
<tr style="font-size: 1px">
<td>
<div style="margin-left:15px; text-indent:-15px"> 
</div></td>
<td> </td>
<td nowrap="nowrap" colspan="2" align="right" style="border-top: 1px solid #000000"> </td>
<td> </td>
</tr>
<tr valign="bottom" style="background: #cceeff">
<td>
<div style="margin-left:30px; text-indent:-15px">Total liabilities assumed
</div></td>
<td> </td>
<td> </td>
<td align="right">1,693</td>
<td> </td>
</tr>
<tr style="font-size: 1px">
<td>
<div style="margin-left:15px; text-indent:-15px"> 
</div></td>
<td> </td>
<td nowrap="nowrap" colspan="2" align="right" style="border-top: 1px solid #000000"> </td>
<td> </td>
</tr>
<tr valign="bottom">
<td>
<div style="margin-left:15px; text-indent:-15px">Net assets acquired/cash consideration paid
</div></td>
<td> </td>
<td align="left">$</td>
<td align="right">109,539</td>
<td> </td>
</tr>
<tr style="font-size: 1px">
<td>
<div style="margin-left:15px; text-indent:-15px"> 
</div></td>
<td> </td>
<td nowrap="nowrap" colspan="2" align="right" style="border-top: 3px double #000000"> </td>
<td> </td>
</tr>
<!-- End Table Body -->
</table>
</div>
<div align="left" style="font-size: 10pt; margin-top: 6pt">     The following are the intangible assets acquired and their respective amortizable lives
(dollars in thousands):
</div>
<div align="center">
<table style="font-size: 10pt; text-align: left" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<tr valign="bottom">
<td width="76%"> </td>
<td width="5%"> </td>
<td width="1%"> </td>
<td width="5%"> </td>
<td width="1%"> </td>
<td width="5%"> </td>
<td width="7%"> </td>
</tr>
<tr style="font-size: 8pt" valign="bottom">
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="2" style="border-bottom: 1px solid #000000"><b>Amount</b></td>
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" style="border-bottom: 1px solid #000000"><b>Amortizable Life</b></td>
</tr>
<!-- End Table Head -->
<!-- Begin Table Body -->
<tr valign="bottom" style="background: #cceeff">
<td>
<div style="margin-left:15px; text-indent:-15px">Other intangible assets
</div></td>
<td> </td>
<td align="left">$</td>
<td align="right">13,300</td>
<td> </td>
<td> </td>
<td align="center" valign="top">20 years</td>
</tr>
<tr valign="bottom">
<td>
<div style="margin-left:15px; text-indent:-15px">Customer relationships
</div></td>
<td> </td>
<td> </td>
<td align="right">35,100</td>
<td> </td>
<td> </td>
<td align="center" valign="top">20 years</td>
</tr>
<tr style="font-size: 1px">
<td>
<div style="margin-left:15px; text-indent:-15px"> 
</div></td>
<td> </td>
<td nowrap="nowrap" colspan="2" align="right" style="border-top: 1px solid #000000"> </td>
<td> </td>
<td> </td>
<td align="center" valign="top"> </td>
</tr>
<tr valign="bottom" style="background: #cceeff">
<td>
<div style="margin-left:30px; text-indent:-15px">Total intangible assets
</div></td>
<td> </td>
<td align="left">$</td>
<td align="right">48,400</td>
<td> </td>
<td> </td>
<td align="center" valign="top"> </td>
</tr>
<tr style="font-size: 1px">
<td>
<div style="margin-left:15px; text-indent:-15px"> 
</div></td>
<td> </td>
<td nowrap="nowrap" colspan="2" align="right" style="border-top: 3px double #000000"> </td>
<td> </td>
<td> </td>
<td align="center" valign="top"> </td>
</tr>
<!-- End Table Body -->
</table>
</div>
<div align="left" style="font-size: 10pt; margin-top: 6pt">     The amount allocated to goodwill from this acquisition is deductible for tax purposes.
</div>
<div align="left" style="font-size: 10pt; margin-top: 6pt">     (iii) Acquisition of Standard Diagnostics
</div>
<div align="left" style="font-size: 10pt; margin-top: 6pt">     On February 8, 2010, we acquired a 61.92% ownership interest in Standard Diagnostics via a
tender offer for approximately $162.1 million. On March 22, 2010, we acquired an incremental 13.37%
ownership interest in Standard Diagnostics via a follow-on tender offer for approximately $36.2
million. In June 2010, we acquired an incremental 2.84% ownership interest for approximately $7.3
million, bringing our aggregate ownership interest in Standard Diagnostics to approximately 78.13%
as of June 30, 2010. Standard Diagnostics specializes in the medical diagnostics industry. Its main
product lines relate to diagnostic reagents and devices for hepatitis, infectious diseases, tumor
markers, fertility, drugs of abuse, urine strips and protein strips. The preliminary aggregate
purchase price was $205.6 million in cash.
</div>
<div align="left" style="font-size: 10pt; margin-top: 6pt">     Included in our consolidated statements of operations for the three and six months ended June
30, 2010 is revenue totaling approximately $20.7 million and $32.0 million, respectively, related
to Standard Diagnostics. The operating results of Standard Diagnostics are included in our
professional diagnostics reporting unit and business segment.
</div>
<div align="left" style="font-size: 10pt; margin-top: 6pt">     A summary of the preliminary aggregate purchase price allocation for this acquisition is as
follows (in thousands):
</div>
<div align="center">
<table style="font-size: 10pt; text-align: left" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<tr valign="bottom">
<td width="88%"> </td>
<td width="5%"> </td>
<td width="1%"> </td>
<td width="5%"> </td>
<td width="1%"> </td>
</tr>
<!-- End Table Head -->
<!-- Begin Table Body -->
<tr valign="bottom" style="background: #cceeff">
<td>
<div style="margin-left:15px; text-indent:-15px">Current assets
</div></td>
<td> </td>
<td align="left">$</td>
<td align="right">52,058</td>
<td> </td>
</tr>
<tr valign="bottom">
<td>
<div style="margin-left:15px; text-indent:-15px">Property, plant and equipment
</div></td>
<td> </td>
<td> </td>
<td align="right">16,562</td>
<td> </td>
</tr>
<tr valign="bottom" style="background: #cceeff">
<td>
<div style="margin-left:15px; text-indent:-15px">Goodwill
</div></td>
<td> </td>
<td> </td>
<td align="right">83,181</td>
<td> </td>
</tr>
<tr valign="bottom">
<td>
<div style="margin-left:15px; text-indent:-15px">Intangible assets
</div></td>
<td> </td>
<td> </td>
<td align="right">131,580</td>
<td> </td>
</tr>
<tr valign="bottom" style="background: #cceeff">
<td>
<div style="margin-left:15px; text-indent:-15px">Other non-current assets
</div></td>
<td> </td>
<td> </td>
<td align="right">13,334</td>
<td> </td>
</tr>
<tr style="font-size: 1px">
<td>
<div style="margin-left:15px; text-indent:-15px"> 
</div></td>
<td> </td>
<td nowrap="nowrap" colspan="2" align="right" style="border-top: 1px solid #000000"> </td>
<td> </td>
</tr>
<tr valign="bottom">
<td>
<div style="margin-left:30px; text-indent:-15px">Total assets acquired
</div></td>
<td> </td>
<td> </td>
<td align="right">296,715</td>
<td> </td>
</tr>
<tr style="font-size: 1px">
<td>
<div style="margin-left:15px; text-indent:-15px"> 
</div></td>
<td> </td>
<td nowrap="nowrap" colspan="2" align="right" style="border-top: 1px solid #000000"> </td>
<td> </td>
</tr>
<tr valign="bottom" style="background: #cceeff">
<td>
<div style="margin-left:15px; text-indent:-15px">Current liabilities
</div></td>
<td> </td>
<td> </td>
<td align="right">13,338</td>
<td> </td>
</tr>
<tr valign="bottom">
<td>
<div style="margin-left:15px; text-indent:-15px">Non-current liabilities
</div></td>
<td> </td>
<td> </td>
<td align="right">32,088</td>
<td> </td>
</tr>
<tr style="font-size: 1px">
<td>
<div style="margin-left:15px; text-indent:-15px"> 
</div></td>
<td> </td>
<td nowrap="nowrap" colspan="2" align="right" style="border-top: 1px solid #000000"> </td>
<td> </td>
</tr>
<tr valign="bottom" style="background: #cceeff">
<td>
<div style="margin-left:30px; text-indent:-15px">Total liabilities assumed
</div></td>
<td> </td>
<td> </td>
<td align="right">45,426</td>
<td> </td>
</tr>
<tr style="font-size: 1px">
<td>
<div style="margin-left:15px; text-indent:-15px"> 
</div></td>
<td> </td>
<td nowrap="nowrap" colspan="2" align="right" style="border-top: 1px solid #000000"> </td>
<td> </td>
</tr>
<tr valign="bottom">
<td>
<div style="margin-left:15px; text-indent:-15px">Net assets acquired
</div></td>
<td> </td>
<td> </td>
<td align="right">251,289</td>
<td> </td>
</tr>
<tr valign="bottom" style="background: #cceeff">
<td>
<div style="margin-left:15px; text-indent:-15px">Less:
</div></td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
</tr>
<tr valign="bottom">
<td>
<div style="margin-left:30px; text-indent:-15px">Fair value of non-controlling interest
</div></td>
<td> </td>
<td> </td>
<td align="right">45,727</td>
<td> </td>
</tr>
<tr style="font-size: 1px">
<td>
<div style="margin-left:15px; text-indent:-15px"> 
</div></td>
<td> </td>
<td nowrap="nowrap" colspan="2" align="right" style="border-top: 1px solid #000000"> </td>
<td> </td>
</tr>
<tr valign="bottom" style="background: #cceeff">
<td>
<div style="margin-left:15px; text-indent:-15px">Cash consideration
</div></td>
<td> </td>
<td align="left">$</td>
<td align="right">205,562</td>
<td> </td>
</tr>
<tr style="font-size: 1px">
<td>
<div style="margin-left:15px; text-indent:-15px"> 
</div></td>
<td> </td>
<td nowrap="nowrap" colspan="2" align="right" style="border-top: 3px double #000000"> </td>
<td> </td>
</tr>
<!-- End Table Body -->
</table>
</div>
<div align="left" style="font-size: 10pt; margin-top: 6pt">     The following are the intangible assets acquired and their respective amortizable lives
(dollars in thousands):
</div>
<div align="center">
<table style="font-size: 10pt; text-align: left" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<tr valign="bottom">
<td width="76%"> </td>
<td width="5%"> </td>
<td width="1%"> </td>
<td width="5%"> </td>
<td width="1%"> </td>
<td width="5%"> </td>
<td width="7%"> </td>
</tr>
<tr style="font-size: 8pt" valign="bottom">
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="2" style="border-bottom: 1px solid #000000"><b>Amount</b></td>
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" style="border-bottom: 1px solid #000000"><b>Amortizable Life</b></td>
</tr>
<!-- End Table Head -->
<!-- Begin Table Body -->
<tr valign="bottom" style="background: #cceeff">
<td>
<div style="margin-left:15px; text-indent:-15px">Core technology
</div></td>
<td> </td>
<td align="left">$</td>
<td align="right">62,135</td>
<td> </td>
<td> </td>
<td align="center" valign="top">10 years</td>
</tr>
<tr valign="bottom">
<td>
<div style="margin-left:15px; text-indent:-15px">Trademarks and trade names
</div></td>
<td> </td>
<td> </td>
<td align="right">9,350</td>
<td> </td>
<td> </td>
<td align="center" valign="top">7 years</td>
</tr>
<tr valign="bottom" style="background: #cceeff">
<td>
<div style="margin-left:15px; text-indent:-15px">Customer relationships
</div></td>
<td> </td>
<td> </td>
<td align="right">46,155</td>
<td> </td>
<td> </td>
<td align="center" valign="top" nowrap="nowrap">10.9-15.9 years</td>
</tr>
<tr valign="bottom">
<td>
<div style="margin-left:15px; text-indent:-15px">Non-compete agreements
</div></td>
<td> </td>
<td> </td>
<td align="right">255</td>
<td> </td>
<td> </td>
<td align="center" valign="top">2 years</td>
</tr>
<tr valign="bottom" style="background: #cceeff">
<td>
<div style="margin-left:15px; text-indent:-15px">In-process research and development
</div></td>
<td> </td>
<td> </td>
<td align="right">13,685</td>
<td> </td>
<td> </td>
<td align="center" valign="top">N/A</td>
</tr>
<tr style="font-size: 1px">
<td>
<div style="margin-left:15px; text-indent:-15px"> 
</div></td>
<td> </td>
<td nowrap="nowrap" colspan="2" align="right" style="border-top: 1px solid #000000"> </td>
<td> </td>
<td> </td>
<td align="center" valign="top"> </td>
</tr>
<tr valign="bottom">
<td>
<div style="margin-left:30px; text-indent:-15px">Total intangible assets
</div></td>
<td> </td>
<td align="left">$</td>
<td align="right">131,580</td>
<td> </td>
<td> </td>
<td align="center" valign="top"> </td>
</tr>
<tr style="font-size: 1px">
<td>
<div style="margin-left:15px; text-indent:-15px"> 
</div></td>
<td> </td>
<td nowrap="nowrap" colspan="2" align="right" style="border-top: 3px double #000000"> </td>
<td> </td>
<td> </td>
<td align="center" valign="top"> </td>
</tr>
<!-- End Table Body -->
</table>
</div>
<!-- Folio -->
<!-- /Folio -->
</div>
<!-- PAGEBREAK -->
<div style="font-family: 'Times New Roman',Times,serif">
<div align="center" style="font-size: 10pt; margin-top: 0pt">
<b>
</b>
</div>
<div align="left" style="font-size: 10pt; margin-top: 6pt">     We do not expect the amount allocated to goodwill to be deductible for tax purposes.
</div>
<div align="left" style="font-size: 10pt; margin-top: 6pt">     (iv) Other acquisitions in 2010
</div>
<div align="left" style="font-size: 10pt; margin-top: 6pt">     During
the first six months of 2010, we acquired the following businesses for a
preliminary aggregate purchase price of $40.2 million, which consisted of initial cash payments
totaling $38.7 million, a contingent
consideration obligation with an acquisition date fair value of $0.8 million and deferred
purchase price consideration with an acquisition date present value of $0.7 million.
</div>
<div style="margin-top: 6pt">
<table width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt; text-align: left">
<tr valign="top" style="font-size: 10pt; color: #000000; background: transparent">
<td width="2%" style="background: transparent"> </td>
<td width="3%" nowrap="nowrap" align="left"><b>•</b></td>
<td width="1%"> </td>
<td>RMD Networks, Inc., or RMD, located in Denver, Colorado, a provider of clinical
groupware software and services designed to improve communication and coordination of care
among providers, patients, and payers in the healthcare environment (Acquired January 2010)</td>
</tr>
</table>
</div>
<div style="margin-top: 6pt">
<table width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt; text-align: left">
<tr valign="top" style="font-size: 10pt; color: #000000; background: transparent">
<td width="2%" style="background: transparent"> </td>
<td width="3%" nowrap="nowrap" align="left"><b>•</b></td>
<td width="1%"> </td>
<td>certain assets of Streck, Inc., or Streck, located in Nebraska, a manufacturer of
hematology, chemistry and immunology products for the clinical laboratory (Acquired January
2010)</td>
</tr>
</table>
</div>
<div style="margin-top: 6pt">
<table width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt; text-align: left">
<tr valign="top" style="font-size: 10pt; color: #000000; background: transparent">
<td width="2%" style="background: transparent"> </td>
<td width="3%" nowrap="nowrap" align="left"><b>•</b></td>
<td width="1%"> </td>
<td>assets of the diagnostics division of Micropharm Ltd., or Micropharm, located in Wales,
United Kingdom, an expert in high quality antibody production in sheep for both diagnostic
and therapeutic purposes, providing antisera on a contract basis for U.K. and overseas
companies and academic institutions, mainly for research, therapeutic and diagnostic uses
(Acquired March 2010)</td>
</tr>
</table>
</div>
<div style="margin-top: 6pt">
<table width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt; text-align: left">
<tr valign="top" style="font-size: 10pt; color: #000000; background: transparent">
<td width="2%" style="background: transparent"> </td>
<td width="3%" nowrap="nowrap" align="left"><b>•</b></td>
<td width="1%"> </td>
<td>Quantum Diagnostics Group Limited, or Quantum, headquartered in Essex, England, an
independent provider of drug testing products and services to healthcare professionals
across the U.K. and Europe (Acquired April 2010)</td>
</tr>
</table>
</div>
<div style="margin-top: 6pt">
<table width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt; text-align: left">
<tr valign="top" style="font-size: 10pt; color: #000000; background: transparent">
<td width="2%" style="background: transparent"> </td>
<td width="3%" nowrap="nowrap" align="left"><b>•</b></td>
<td width="1%"> </td>
<td>assets of the workplace health division of Good Health Solutions Pty Ltd., or GHS,
located in East Sydney, Australia, an important player in the Australian health and
wellness market, focusing on health screenings, health related consulting services, health
coaching, and fitness instruction (Acquired April 2010)</td>
</tr>
</table>
</div>
<div style="margin-top: 6pt">
<table width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt; text-align: left">
<tr valign="top" style="font-size: 10pt; color: #000000; background: transparent">
<td width="2%" style="background: transparent"> </td>
<td width="3%" nowrap="nowrap" align="left"><b>•</b></td>
<td width="1%"> </td>
<td>certain assets of Unotech Diagnostics, Inc., or Unotech, located in California, a
privately-owned company engaged in the development, formulation, manufacture, packaging,
supply and distribution of our BladderCheck NMP22 lateral flow test and related lateral
flow products (Acquired June 2010)</td>
</tr>
</table>
</div>
<div style="margin-top: 6pt">
<table width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt; text-align: left">
<tr valign="top" style="font-size: 10pt; color: #000000; background: transparent">
<td width="2%" style="background: transparent"> </td>
<td width="3%" nowrap="nowrap" align="left"><b>•</b></td>
<td width="1%"> </td>
<td>Scipac Holdings Limited, or Scipac, headquartered in Kent, England, a diagnostic
reagent company with an extensive product portfolio supplying purified human antigens,
recombinant proteins and disease state plasma to a global customer base (Acquired June
2010)</td>
</tr>
</table>
</div>
<div align="left" style="font-size: 10pt; margin-top: 6pt">     The operating results of Streck, Micropharm, Quantum, Unotech and Scipac are included in our
professional diagnostics reporting unit and business segment. The operating results of RMD and GHS
are included in our health management reporting unit and business segment. Our consolidated
statements of operations for the three and six months ended June 30, 2010 included revenue totaling
approximately $2.8 million and $2.9 million, respectively, related to these businesses.
</div>
<div align="left" style="font-size: 10pt; margin-top: 6pt">     A summary of the preliminary aggregate purchase price allocation for these acquisitions is as
follows (in thousands):
</div>
<div align="center">
<table style="font-size: 10pt; text-align: left" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<tr valign="bottom">
<td width="88%"> </td>
<td width="5%"> </td>
<td width="1%"> </td>
<td width="5%"> </td>
<td width="1%"> </td>
</tr>
<!-- End Table Head -->
<!-- Begin Table Body -->
<tr valign="bottom" style="background: #cceeff">
<td>
<div style="margin-left:15px; text-indent:-15px">Current assets
</div></td>
<td> </td>
<td align="left">$</td>
<td align="right">6,328</td>
<td> </td>
</tr>
<tr valign="bottom">
<td>
<div style="margin-left:15px; text-indent:-15px">Property, plant and equipment
</div></td>
<td> </td>
<td> </td>
<td align="right">3,858</td>
<td> </td>
</tr>
<tr valign="bottom" style="background: #cceeff">
<td>
<div style="margin-left:15px; text-indent:-15px">Goodwill
</div></td>
<td> </td>
<td> </td>
<td align="right">16,836</td>
<td> </td>
</tr>
<tr valign="bottom">
<td>
<div style="margin-left:15px; text-indent:-15px">Intangible assets
</div></td>
<td> </td>
<td> </td>
<td align="right">22,499</td>
<td> </td>
</tr>
<tr valign="bottom" style="background: #cceeff">
<td>
<div style="margin-left:15px; text-indent:-15px">Other non-current assets
</div></td>
<td> </td>
<td> </td>
<td align="right">68</td>
<td> </td>
</tr>
<tr style="font-size: 1px">
<td>
<div style="margin-left:15px; text-indent:-15px"> 
</div></td>
<td> </td>
<td nowrap="nowrap" colspan="2" align="right" style="border-top: 1px solid #000000"> </td>
<td> </td>
</tr>
<tr valign="bottom">
<td>
<div style="margin-left:30px; text-indent:-15px">Total assets acquired
</div></td>
<td> </td>
<td> </td>
<td align="right">49,589</td>
<td> </td>
</tr>
<tr style="font-size: 1px">
<td>
<div style="margin-left:15px; text-indent:-15px"> 
</div></td>
<td> </td>
<td nowrap="nowrap" colspan="2" align="right" style="border-top: 1px solid #000000"> </td>
<td> </td>
</tr>
<tr valign="bottom" style="background: #cceeff">
<td>
<div style="margin-left:15px; text-indent:-15px">Current liabilities
</div></td>
<td> </td>
<td> </td>
<td align="right">4,006</td>
<td> </td>
</tr>
<tr valign="bottom">
<td>
<div style="margin-left:15px; text-indent:-15px">Non-current liabilities
</div></td>
<td> </td>
<td> </td>
<td align="right">5,433</td>
<td> </td>
</tr>
<tr style="font-size: 1px">
<td>
<div style="margin-left:15px; text-indent:-15px"> 
</div></td>
<td> </td>
<td nowrap="nowrap" colspan="2" align="right" style="border-top: 1px solid #000000"> </td>
<td> </td>
</tr>
<tr valign="bottom" style="background: #cceeff">
<td>
<div style="margin-left:30px; text-indent:-15px">Total liabilities assumed
</div></td>
<td> </td>
<td> </td>
<td align="right">9,439</td>
<td> </td>
</tr>
<tr style="font-size: 1px">
<td>
<div style="margin-left:15px; text-indent:-15px"> 
</div></td>
<td> </td>
<td nowrap="nowrap" colspan="2" align="right" style="border-top: 1px solid #000000"> </td>
<td> </td>
</tr>
<tr valign="bottom">
<td>
<div style="margin-left:15px; text-indent:-15px">Net assets acquired
</div></td>
<td> </td>
<td> </td>
<td align="right">40,150</td>
<td> </td>
</tr>
<tr valign="bottom" style="background: #cceeff">
<td>
<div style="margin-left:15px; text-indent:-15px">Less:
</div></td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
</tr>
<!-- End Table Body -->
</table>
</div>
<!-- Folio -->
<!-- /Folio -->
</div>
<!-- PAGEBREAK -->
<div style="font-family: 'Times New Roman',Times,serif">
<div align="center" style="font-size: 10pt; margin-top: 0pt">
<b>
</b>
</div>
<div align="center">
<table style="font-size: 10pt; text-align: left" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<tr valign="bottom">
<td width="88%"> </td>
<td width="5%"> </td>
<td width="1%"> </td>
<td width="5%"> </td>
<td width="1%"> </td>
</tr>
<!-- End Table Head -->
<!-- Begin Table Body -->
<tr valign="bottom">
<td>
<div style="margin-left:30px; text-indent:-15px">Fair value of contingent consideration obligation
</div></td>
<td> </td>
<td> </td>
<td align="right">750</td>
<td> </td>
</tr>
<tr valign="bottom" style="background: #cceeff">
<td>
<div style="margin-left:30px; text-indent:-15px">Present value of deferred purchase price consideration
</div></td>
<td> </td>
<td> </td>
<td align="right">688</td>
<td> </td>
</tr>
<tr style="font-size: 1px">
<td>
<div style="margin-left:15px; text-indent:-15px"> 
</div></td>
<td> </td>
<td nowrap="nowrap" colspan="2" align="right" style="border-top: 1px solid #000000"> </td>
<td> </td>
</tr>
<tr valign="bottom">
<td>
<div style="margin-left:15px; text-indent:-15px">Cash consideration
</div></td>
<td> </td>
<td align="left">$</td>
<td align="right">38,712</td>
<td> </td>
</tr>
<tr style="font-size: 1px">
<td>
<div style="margin-left:15px; text-indent:-15px"> 
</div></td>
<td> </td>
<td nowrap="nowrap" colspan="2" align="right" style="border-top: 3px double #000000"> </td>
<td> </td>
</tr>
<!-- End Table Body -->
</table>
</div>
<div align="left" style="font-size: 10pt; margin-top: 6pt">     The following are the intangible assets acquired and their respective amortizable lives
(dollars in thousands):
</div>
<div align="center">
<table style="font-size: 10pt; text-align: left" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<tr valign="bottom">
<td width="76%"> </td>
<td width="5%"> </td>
<td width="1%"> </td>
<td width="5%"> </td>
<td width="1%"> </td>
<td width="5%"> </td>
<td width="7%"> </td>
</tr>
<tr style="font-size: 8pt" valign="bottom">
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="2" style="border-bottom: 1px solid #000000"><b>Amount</b></td>
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" style="border-bottom: 1px solid #000000"><b>Amortizable Life</b></td>
</tr>
<!-- End Table Head -->
<!-- Begin Table Body -->
<tr valign="bottom" style="background: #cceeff">
<td>
<div style="margin-left:15px; text-indent:-15px">Core technology
</div></td>
<td> </td>
<td align="left">$</td>
<td align="right">950</td>
<td> </td>
<td> </td>
<td align="center" valign="top">5.2 years</td>
</tr>
<tr valign="bottom">
<td>
<div style="margin-left:15px; text-indent:-15px">Trademarks and trade names
</div></td>
<td> </td>
<td> </td>
<td align="right">731</td>
<td> </td>
<td> </td>
<td align="center" valign="top">5 years</td>
</tr>
<tr valign="bottom" style="background: #cceeff">
<td>
<div style="margin-left:15px; text-indent:-15px">Database
</div></td>
<td> </td>
<td> </td>
<td align="right">654</td>
<td> </td>
<td> </td>
<td align="center" valign="top">3 years</td>
</tr>
<tr valign="bottom">
<td>
<div style="margin-left:15px; text-indent:-15px">License agreements
</div></td>
<td> </td>
<td> </td>
<td align="right">459</td>
<td> </td>
<td> </td>
<td align="center" valign="top">10 years</td>
</tr>
<tr valign="bottom" style="background: #cceeff">
<td>
<div style="margin-left:15px; text-indent:-15px">Software
</div></td>
<td> </td>
<td> </td>
<td align="right">5,000</td>
<td> </td>
<td> </td>
<td align="center" valign="top">7 years</td>
</tr>
<tr valign="bottom">
<td>
<div style="margin-left:15px; text-indent:-15px">Customer relationships
</div></td>
<td> </td>
<td> </td>
<td align="right">10,636</td>
<td> </td>
<td> </td>
<td align="center" valign="top">1-21.6 years</td>
</tr>
<tr valign="bottom" style="background: #cceeff">
<td>
<div style="margin-left:15px; text-indent:-15px">Manufacturing know-how
</div></td>
<td> </td>
<td> </td>
<td align="right">3,683</td>
<td> </td>
<td> </td>
<td align="center" valign="top">2-15 years</td>
</tr>
<tr valign="bottom">
<td>
<div style="margin-left:15px; text-indent:-15px">Non-compete agreements
</div></td>
<td> </td>
<td> </td>
<td align="right">233</td>
<td> </td>
<td> </td>
<td align="center" valign="top">1 year</td>
</tr>
<tr valign="bottom" style="background: #cceeff">
<td>
<div style="margin-left:15px; text-indent:-15px">Other intangible assets
</div></td>
<td> </td>
<td> </td>
<td align="right">153</td>
<td> </td>
<td> </td>
<td align="center" valign="top">5 years</td>
</tr>
<tr style="font-size: 1px">
<td>
<div style="margin-left:15px; text-indent:-15px"> 
</div></td>
<td> </td>
<td nowrap="nowrap" colspan="2" align="right" style="border-top: 1px solid #000000"> </td>
<td> </td>
<td> </td>
<td align="center" valign="top"> </td>
</tr>
<tr valign="bottom">
<td>
<div style="margin-left:30px; text-indent:-15px">Total intangible assets
</div></td>
<td> </td>
<td align="left">$</td>
<td align="right">22,499</td>
<td> </td>
<td> </td>
<td align="center" valign="top"> </td>
</tr>
<tr style="font-size: 1px">
<td>
<div style="margin-left:15px; text-indent:-15px"> 
</div></td>
<td> </td>
<td nowrap="nowrap" colspan="2" align="right" style="border-top: 3px double #000000"> </td>
<td> </td>
<td> </td>
<td align="center" valign="top"> </td>
</tr>
<!-- End Table Body -->
</table>
</div>
<div align="left" style="font-size: 10pt; margin-top: 6pt">     Goodwill has been recognized in the acquisition of RMD, Quantum, GHS and Scipac and amounted
to approximately $16.8 million. We do not expect the goodwill related to these acquisitions to be
deductible for tax purposes.
</div>
<div align="left" style="font-size: 10pt; margin-top: 6pt">     <i>(b) Acquisitions in 2009</i>
</div>
<div align="left" style="font-size: 10pt; margin-top: 6pt">     During the year ended December 31, 2009, we acquired the following businesses for a
preliminary aggregate purchase price of $655.1 million ($651.1 million present value at June 30,
2010), which consisted of $425.2 million in cash; 3,430,435 shares of our common stock with an
aggregate fair value of $117.5 million; $2.9 million of fair value associated with employee stock
options exchanged as part of the transactions; deferred purchase price consideration payable in
cash and common stock with an aggregate fair value of $57.9 million; notes payable totaling $7.8
million; warrants with a fair value of $0.1 million and contingent consideration obligations with
an acquisition date fair value of $39.8 million. In addition, we assumed and immediately repaid
debt totaling approximately $45.1 million.
</div>
<div align="left" style="font-size: 10pt; margin-top: 6pt">     We determined the acquisition date fair value of the contingent consideration obligations
based on a probability-weighted approach derived from earn-out criteria estimates and a probability
assessment with respect to the likelihood of achieving the various earn-out criteria. The fair
value measurements are based on significant inputs not observable in the market and thus represents
a Level 3 measurement as defined in fair value measurement accounting. The resultant
probability-weighted cash flows were then initially discounted using discount rates ranging from 6%
to 18%. At each reporting date, we revalue the contingent consideration obligations at fair value
and record increases and decreases in the fair values as income or expense within general and
administrative expense in our consolidated statement of operations. Increases or decreases in the
fair value of the contingent consideration obligations may result from changes in discount periods
and rates, changes in the timing and amount of financial estimates and changes in probability
assumptions with respect to the likelihood of achieving the various earn-out criteria. We recorded
income of approximately $5.1 million and $8.3 million in our consolidated statements of operations
during the three and six months ended June 30, 2010, respectively, as a result of a decrease in the
discount period, changes in the discount rates since the various acquisition dates and changes in
estimates and probability assumptions with respect to the various earn-out criteria. As of June 30,
2010, the fair value of the contingent consideration obligations was approximately $33.3 million,
of which $19.2 million is payable in shares of our common stock, unless certain 2010 financial
targets are exceeded, in which case $11.8 million may be settled in cash at the election of the
sellers.
</div>
<div style="margin-top: 6pt">
<table width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt; text-align: left">
<tr valign="top" style="font-size: 10pt; color: #000000; background: transparent">
<td width="2%" style="background: transparent"> </td>
<td width="3%" nowrap="nowrap" align="left"><b>•</b></td>
<td width="1%"> </td>
<td>51.0% share in Long Chain International Corp., or Long Chain, located in Taipei,
Taiwan, a distributor of point-of-care diagnostics testing products primarily to the
Taiwanese marketplace (Acquired December 2009). In January 2010, we acquired the remaining
49.0% interest in Long Chain.</td>
</tr>
</table>
</div>
<div style="margin-top: 6pt">
<table width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt; text-align: left">
<tr valign="top" style="font-size: 10pt; color: #000000; background: transparent">
<td width="2%" style="background: transparent"> </td>
<td width="3%" nowrap="nowrap" align="left"><b>•</b></td>
<td width="1%"> </td>
<td>Biolinker S.A., or Biolinker, located in Buenos Aires, Argentina, a distributor of
point-of-care diagnostics testing products primarily to the Argentinean marketplace
(Acquired December 2009)
</td>
</tr>
</table>
</div>
<!-- Folio -->
<!-- /Folio -->
</div>
<!-- PAGEBREAK -->
<div style="font-family: 'Times New Roman',Times,serif">
<div align="center" style="font-size: 10pt; margin-top: 0pt">
<b>
</b>
</div>
<div style="margin-top: 6pt">
<table width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt; text-align: left">
<tr valign="top" style="font-size: 10pt; color: #000000; background: transparent">
<td width="2%" style="background: transparent"> </td>
<td width="3%" nowrap="nowrap" align="left"><b>•</b></td>
<td width="1%"> </td>
<td>Jinsung Meditech, Inc., or JSM, located in Seoul, Korea, a distributor of point-of-care
diagnostics testing products primarily to the South Korean marketplace (Acquired December
2009)</td>
</tr>
</table>
</div>
<div style="margin-top: 6pt">
<table width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt; text-align: left">
<tr valign="top" style="font-size: 10pt; color: #000000; background: transparent">
<td width="2%" style="background: transparent"> </td>
<td width="3%" nowrap="nowrap" align="left"><b>•</b></td>
<td width="1%"> </td>
<td>Tapestry Medical, Inc., or Tapestry, located in Livermore, California, a
privately-owned provider of products and related services designed to support
anti-coagulation disease management for patients at risk for stroke and other clotting
disorders (Acquired November 2009)</td>
</tr>
</table>
</div>
<div style="margin-top: 6pt">
<table width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt; text-align: left">
<tr valign="top" style="font-size: 10pt; color: #000000; background: transparent">
<td width="2%" style="background: transparent"> </td>
<td width="3%" nowrap="nowrap" align="left"><b>•</b></td>
<td width="1%"> </td>
<td>Mologic Limited, or Mologic, located in Sharnbrook, United Kingdom, a research and
development entity having wide immunoassay experience, as well as a broad understanding of
medical diagnostic devices and antibody development (Acquired October 2009)</td>
</tr>
</table>
</div>
<div style="margin-top: 6pt">
<table width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt; text-align: left">
<tr valign="top" style="font-size: 10pt; color: #000000; background: transparent">
<td width="2%" style="background: transparent"> </td>
<td width="3%" nowrap="nowrap" align="left"><b>•</b></td>
<td width="1%"> </td>
<td>Biosyn Diagnostics Limited, or Biosyn, located in Belfast, Ireland, a distributor of
point-of-care diagnostics testing products primarily to the Irish marketplace (Acquired
October 2009)</td>
</tr>
</table>
</div>
<div style="margin-top: 6pt">
<table width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt; text-align: left">
<tr valign="top" style="font-size: 10pt; color: #000000; background: transparent">
<td width="2%" style="background: transparent"> </td>
<td width="3%" nowrap="nowrap" align="left"><b>•</b></td>
<td width="1%"> </td>
<td>Medim Schweiz GmbH, or Medim, located in Zug, Switzerland, a distributor of
point-of-care diagnostics testing products primarily to the Swiss marketplace (Acquired
September 2009)</td>
</tr>
</table>
</div>
<div style="margin-top: 6pt">
<table width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt; text-align: left">
<tr valign="top" style="font-size: 10pt; color: #000000; background: transparent">
<td width="2%" style="background: transparent"> </td>
<td width="3%" nowrap="nowrap" align="left"><b>•</b></td>
<td width="1%"> </td>
<td>Free & Clear, Inc., or Free & Clear, located in Seattle, Washington, a privately-owned
company that specializes in behavioral coaching to help employers, health plans and
government agencies improve the overall health and productivity of their covered
populations (Acquired September 2009)</td>
</tr>
</table>
</div>
<div style="margin-top: 6pt">
<table width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt; text-align: left">
<tr valign="top" style="font-size: 10pt; color: #000000; background: transparent">
<td width="2%" style="background: transparent"> </td>
<td width="3%" nowrap="nowrap" align="left"><b>•</b></td>
<td width="1%"> </td>
<td>ZyCare, Inc., or ZyCare, located in Chapel Hill, North Carolina, a provider of
technology and services used to help manage many chronic illnesses (Acquired August 2009)</td>
</tr>
</table>
</div>
<div style="margin-top: 6pt">
<table width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt; text-align: left">
<tr valign="top" style="font-size: 10pt; color: #000000; background: transparent">
<td width="2%" style="background: transparent"> </td>
<td width="3%" nowrap="nowrap" align="left"><b>•</b></td>
<td width="1%"> </td>
<td>Concateno plc, or Concateno, a publicly-traded company headquartered in the United
Kingdom that specializes in the manufacture and distribution of rapid drugs of abuse
diagnostic products used in health care, criminal justice, workplace and other testing
markets (Acquired August 2009)</td>
</tr>
</table>
</div>
<div style="margin-top: 6pt">
<table width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt; text-align: left">
<tr valign="top" style="font-size: 10pt; color: #000000; background: transparent">
<td width="2%" style="background: transparent"> </td>
<td width="3%" nowrap="nowrap" align="left"><b>•</b></td>
<td width="1%"> </td>
<td>Certain assets from CVS Caremark’s Accordant Common disease management programs, or
Accordant, whereby chronically ill patients served by Accordant Common disease management
programs are managed and have access to expanded offerings provided by our Alere Health
business (Acquired August 2009)</td>
</tr>
</table>
</div>
<div style="margin-top: 6pt">
<table width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt; text-align: left">
<tr valign="top" style="font-size: 10pt; color: #000000; background: transparent">
<td width="2%" style="background: transparent"> </td>
<td width="3%" nowrap="nowrap" align="left"><b>•</b></td>
<td width="1%"> </td>
<td>GeneCare Medical Genetics Center, Inc., or GeneCare, located in Chapel Hill, North
Carolina, a medical genetics testing and counseling business (Acquired July 2009)</td>
</tr>
</table>
</div>
<div style="margin-top: 6pt">
<table width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt; text-align: left">
<tr valign="top" style="font-size: 10pt; color: #000000; background: transparent">
<td width="2%" style="background: transparent"> </td>
<td width="3%" nowrap="nowrap" align="left"><b>•</b></td>
<td width="1%"> </td>
<td>assets of ACON Laboratories, Inc.’s and certain related entities’ business of
researching, developing, manufacturing, distributing, marketing and selling lateral flow
immunoassay and directly-related products in China, Asia Pacific, Latin America, South
America, the Middle East, Africa, India, Pakistan, Russia and Eastern Europe (the “ACON
Second Territory Business”) (Acquired April 2009)</td>
</tr>
</table>
</div>
<div align="left" style="font-size: 10pt; margin-top: 6pt">     The operating results of Long Chain, Biolinker, JSM, Mologic, Biosyn, Medim, Concateno and the
ACON Second Territory Business are included in our professional diagnostics reporting unit and
business segment. The operating results of Tapestry, Free & Clear, ZyCare, Accordant and GeneCare
are included in our health management reporting unit and business segment. Our consolidated
statements of operations for the three and six months ended June 30, 2010 included revenue totaling
approximately $75.7 million and $148.8 million, respectively, related to these businesses. Our
consolidated statements of operations for both the three and six months ended June 30, 2009
included revenue totaling approximately $8.7 million related to these businesses.
</div>
<!-- Folio -->
<!-- /Folio -->
</div>
<!-- PAGEBREAK -->
<div style="font-family: 'Times New Roman',Times,serif">
<div align="center" style="font-size: 10pt; margin-top: 0pt">
<b>
</b>
</div>
<div align="left" style="font-size: 10pt; margin-top: 6pt">     A summary of the preliminary aggregate purchase price allocation for these acquisitions is as
follows (dollars in thousands):
</div>
<div align="center">
<table style="font-size: 10pt; text-align: left" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<tr valign="bottom">
<td width="88%"> </td>
<td width="5%"> </td>
<td width="1%"> </td>
<td width="5%"> </td>
<td width="1%"> </td>
</tr>
<!-- End Table Head -->
<!-- Begin Table Body -->
<tr valign="bottom" style="background: #cceeff">
<td>
<div style="margin-left:15px; text-indent:-15px">Current assets
</div></td>
<td> </td>
<td align="left">$</td>
<td align="right">89,226</td>
<td> </td>
</tr>
<tr valign="bottom">
<td>
<div style="margin-left:15px; text-indent:-15px">Property, plant and equipment
</div></td>
<td> </td>
<td> </td>
<td align="right">13,018</td>
<td> </td>
</tr>
<tr valign="bottom" style="background: #cceeff">
<td>
<div style="margin-left:15px; text-indent:-15px">Goodwill
</div></td>
<td> </td>
<td> </td>
<td align="right">398,493</td>
<td> </td>
</tr>
<tr valign="bottom">
<td>
<div style="margin-left:15px; text-indent:-15px">Intangible assets
</div></td>
<td> </td>
<td> </td>
<td align="right">298,560</td>
<td> </td>
</tr>
<tr valign="bottom" style="background: #cceeff">
<td>
<div style="margin-left:15px; text-indent:-15px">Other non-current assets
</div></td>
<td> </td>
<td> </td>
<td align="right">1,541</td>
<td> </td>
</tr>
<tr style="font-size: 1px">
<td>
<div style="margin-left:15px; text-indent:-15px"> 
</div></td>
<td> </td>
<td nowrap="nowrap" colspan="2" align="right" style="border-top: 1px solid #000000"> </td>
<td> </td>
</tr>
<tr valign="bottom">
<td>
<div style="margin-left:30px; text-indent:-15px">Total assets acquired
</div></td>
<td> </td>
<td> </td>
<td align="right">800,838</td>
<td> </td>
</tr>
<tr style="font-size: 1px">
<td>
<div style="margin-left:15px; text-indent:-15px"> 
</div></td>
<td> </td>
<td nowrap="nowrap" colspan="2" align="right" style="border-top: 1px solid #000000"> </td>
<td> </td>
</tr>
<tr valign="bottom" style="background: #cceeff">
<td>
<div style="margin-left:15px; text-indent:-15px">Current liabilities
</div></td>
<td> </td>
<td> </td>
<td align="right">90,438</td>
<td> </td>
</tr>
<tr valign="bottom">
<td>
<div style="margin-left:15px; text-indent:-15px">Non-current liabilities
</div></td>
<td> </td>
<td> </td>
<td align="right">59,306</td>
<td> </td>
</tr>
<tr style="font-size: 1px">
<td>
<div style="margin-left:15px; text-indent:-15px"> 
</div></td>
<td> </td>
<td nowrap="nowrap" colspan="2" align="right" style="border-top: 1px solid #000000"> </td>
<td> </td>
</tr>
<tr valign="bottom" style="background: #cceeff">
<td>
<div style="margin-left:30px; text-indent:-15px">Total liabilities assumed
</div></td>
<td> </td>
<td> </td>
<td align="right">149,744</td>
<td> </td>
</tr>
<tr style="font-size: 1px">
<td>
<div style="margin-left:15px; text-indent:-15px"> 
</div></td>
<td> </td>
<td nowrap="nowrap" colspan="2" align="right" style="border-top: 1px solid #000000"> </td>
<td> </td>
</tr>
<tr valign="bottom">
<td>
<div style="margin-left:15px; text-indent:-15px">Net assets acquired
</div></td>
<td> </td>
<td> </td>
<td align="right">651,094</td>
<td> </td>
</tr>
<tr valign="bottom" style="background: #cceeff">
<td>
<div style="margin-left:15px; text-indent:-15px">Less:
</div></td>
<td> </td>
<td> </td>
<td> </td>
<td> </td>
</tr>
<tr valign="bottom">
<td>
<div style="margin-left:30px; text-indent:-15px">Fair value of common stock issued (3,430,435 shares)
</div></td>
<td> </td>
<td> </td>
<td align="right">117,476</td>
<td> </td>
</tr>
<tr valign="bottom" style="background: #cceeff">
<td>
<div style="margin-left:30px; text-indent:-15px">Fair value of stock options exchanged (315,227 options)
</div></td>
<td> </td>
<td> </td>
<td align="right">2,881</td>
<td> </td>
</tr>
<tr valign="bottom">
<td>
<div style="margin-left:30px; text-indent:-15px">Fair value of warrants issued
</div></td>
<td> </td>
<td> </td>
<td align="right">57</td>
<td> </td>
</tr>
<tr valign="bottom" style="background: #cceeff">
<td>
<div style="margin-left:30px; text-indent:-15px">Notes payable
</div></td>
<td> </td>
<td> </td>
<td align="right">7,819</td>
<td> </td>
</tr>
<tr valign="bottom">
<td>
<div style="margin-left:30px; text-indent:-15px">Present value of deferred purchase price consideration
</div></td>
<td> </td>
<td> </td>
<td align="right">57,853</td>
<td> </td>
</tr>
<tr valign="bottom" style="background: #cceeff">
<td>
<div style="margin-left:30px; text-indent:-15px">Fair value of contingent consideration obligation
</div></td>
<td> </td>
<td> </td>
<td align="right">39,815</td>
<td> </td>
</tr>
<tr style="font-size: 1px">
<td>
<div style="margin-left:15px; text-indent:-15px"> 
</div></td>
<td> </td>
<td nowrap="nowrap" colspan="2" align="right" style="border-top: 1px solid #000000"> </td>
<td> </td>
</tr>
<tr valign="bottom">
<td>
<div style="margin-left:15px; text-indent:-15px">Cash consideration
</div></td>
<td> </td>
<td align="left">$</td>
<td align="right">425,193</td>
<td> </td>
</tr>
<tr style="font-size: 1px">
<td>
<div style="margin-left:15px; text-indent:-15px"> 
</div></td>
<td> </td>
<td nowrap="nowrap" colspan="2" align="right" style="border-top: 3px double #000000"> </td>
<td> </td>
</tr>
<!-- End Table Body -->
</table>
</div>
<div align="left" style="font-size: 10pt; margin-top: 6pt">     The following are the intangible assets acquired and their respective amortizable lives
(dollars in thousands):
</div>
<div align="center">
<table style="font-size: 10pt; text-align: left" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<tr valign="bottom">
<td width="76%"> </td>
<td width="5%"> </td>
<td width="1%"> </td>
<td width="5%"> </td>
<td width="1%"> </td>
<td width="5%"> </td>
<td width="7%"> </td>
</tr>
<tr style="font-size: 8pt" valign="bottom">
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="2" style="border-bottom: 1px solid #000000"><b>Amount</b></td>
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" style="border-bottom: 1px solid #000000"><b>Amortizable Life</b></td>
</tr>
<!-- End Table Head -->
<!-- Begin Table Body -->
<tr valign="bottom" style="background: #cceeff">
<td>
<div style="margin-left:15px; text-indent:-15px">Core technology
</div></td>
<td> </td>
<td align="left">$</td>
<td align="right">13,320</td>
<td> </td>
<td> </td>
<td align="center" valign="top">3-10 years</td>
</tr>
<tr valign="bottom">
<td>
<div style="margin-left:15px; text-indent:-15px">Trademarks and trade names
</div></td>
<td> </td>
<td> </td>
<td align="right">33,753</td>
<td> </td>
<td> </td>
<td align="center" valign="top">2-20 years</td>
</tr>
<tr valign="bottom" style="background: #cceeff">
<td>
<div style="margin-left:15px; text-indent:-15px">Supplier relationships
</div></td>
<td> </td>
<td> </td>
<td align="right">1,581</td>
<td> </td>
<td> </td>
<td align="center" valign="top">8 years</td>
</tr>
<tr valign="bottom">
<td>
<div style="margin-left:15px; text-indent:-15px">Customer relationships
</div></td>
<td> </td>
<td> </td>
<td align="right">244,926</td>
<td> </td>
<td> </td>
<td align="center" valign="top">5.3-18.3 years</td>
</tr>
<tr valign="bottom" style="background: #cceeff">
<td>
<div style="margin-left:15px; text-indent:-15px">Non-compete agreements
</div></td>
<td> </td>
<td> </td>
<td align="right">4,280</td>
<td> </td>
<td> </td>
<td align="center" valign="top">2-5 years</td>
</tr>
<tr valign="bottom">
<td>
<div style="margin-left:15px; text-indent:-15px">In-process research and development
</div></td>
<td> </td>
<td> </td>
<td align="right">700</td>
<td> </td>
<td> </td>
<td align="center" valign="top">N/A</td>
</tr>
<tr style="font-size: 1px">
<td>
<div style="margin-left:15px; text-indent:-15px"> 
</div></td>
<td> </td>
<td nowrap="nowrap" colspan="2" align="right" style="border-top: 1px solid #000000"> </td>
<td> </td>
<td> </td>
<td align="center" valign="top"> </td>
</tr>
<tr valign="bottom" style="background: #cceeff">
<td>
<div style="margin-left:30px; text-indent:-15px">Total intangible assets
</div></td>
<td> </td>
<td align="left">$</td>
<td align="right">298,560</td>
<td> </td>
<td> </td>
<td align="center" valign="top"> </td>
</tr>
<tr style="font-size: 1px">
<td>
<div style="margin-left:15px; text-indent:-15px"> 
</div></td>
<td> </td>
<td nowrap="nowrap" colspan="2" align="right" style="border-top: 3px double #000000"> </td>
<td> </td>
<td> </td>
<td align="center" valign="top"> </td>
</tr>
<!-- End Table Body -->
</table>
</div>
<div align="left" style="font-size: 10pt; margin-top: 6pt">     Goodwill has been recognized in all transactions and amounted to approximately $398.5 million.
Goodwill related to the acquisitions of Tapestry, GeneCare and Accordant, which totaled $52.7
million, is expected to be deductible for tax purposes. Goodwill related to all other acquisitions
is not deductible for tax purposes.
</div>
<div align="left" style="font-size: 10pt; margin-top: 6pt">     <i>(c) Restructuring Plans of Acquisitions</i>
</div>
<div align="left" style="font-size: 10pt; margin-top: 6pt">     In connection with several of our acquisitions consummated during 2008 and prior, we initiated
integration plans to consolidate and restructure certain functions and operations, including the
costs associated with the termination of certain personnel of these acquired entities and the
closure of certain of the acquired entities’ leased facilities. These costs have been recognized as
liabilities assumed in connection with the acquisition of these entities and are subject to
potential adjustments as certain exit activities are refined. The following table summarizes the
liabilities established for exit activities related to these acquisitions (in thousands):
</div>
<div align="center">
<table style="font-size: 10pt; text-align: left" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<tr valign="bottom">
<td width="64%"> </td>
<td width="5%"> </td>
<td width="1%"> </td>
<td width="5%"> </td>
<td width="1%"> </td>
<td width="5%"> </td>
<td width="1%"> </td>
<td width="5%"> </td>
<td width="1%"> </td>
<td width="5%"> </td>
<td width="1%"> </td>
<td width="5%"> </td>
<td width="1%"> </td>
</tr>
<tr style="font-size: 8pt" valign="bottom">
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="2"><b>Severance</b></td>
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="2"><b>Facility</b></td>
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="2"><b>Total Exit</b></td>
<td> </td>
</tr>
<tr style="font-size: 8pt" valign="bottom">
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="2" style="border-bottom: 1px solid #000000"><b>Related</b></td>
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="2" style="border-bottom: 1px solid #000000"><b>And Other</b></td>
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="2" style="border-bottom: 1px solid #000000"><b>Activities</b></td>
<td> </td>
</tr>
<!-- End Table Head -->
<!-- Begin Table Body -->
<tr valign="bottom" style="background: #cceeff">
<td>
<div style="margin-left:15px; text-indent:-15px">Balance, December 31, 2009
</div></td>
<td> </td>
<td align="left">$</td>
<td align="right">5,369</td>
<td> </td>
<td> </td>
<td align="left">$</td>
<td align="right">7,001</td>
<td> </td>
<td> </td>
<td align="left">$</td>
<td align="right">12,370</td>
<td> </td>
</tr>
<tr valign="bottom">
<td>
<div style="margin-left:15px; text-indent:-15px">Restructuring plan accruals
</div></td>
<td> </td>
<td nowrap="nowrap" align="left"> </td>
<td align="right">(1,536</td>
<td nowrap="nowrap">)</td>
<td> </td>
<td> </td>
<td align="right">—</td>
<td> </td>
<td> </td>
<td nowrap="nowrap" align="left"> </td>
<td align="right">(1,536</td>
<td nowrap="nowrap">)</td>
</tr>
<tr valign="bottom" style="background: #cceeff">
<td>
<div style="margin-left:15px; text-indent:-15px">Payments
</div></td>
<td> </td>
<td nowrap="nowrap" align="left"> </td>
<td align="right">(2,743</td>
<td nowrap="nowrap">)</td>
<td> </td>
<td nowrap="nowrap" align="left"> </td>
<td align="right">(2,072</td>
<td nowrap="nowrap">)</td>
<td> </td>
<td nowrap="nowrap" align="left"> </td>
<td align="right">(4,815</td>
<td nowrap="nowrap">)</td>
</tr>
<tr style="font-size: 1px">
<td>
<div style="margin-left:15px; text-indent:-15px"> 
</div></td>
<td> </td>
<td nowrap="nowrap" colspan="2" align="right" style="border-top: 1px solid #000000"> </td>
<td> </td>
<td> </td>
<td nowrap="nowrap" colspan="2" align="right" style="border-top: 1px solid #000000"> </td>
<td> </td>
<td> </td>
<td nowrap="nowrap" colspan="2" align="right" style="border-top: 1px solid #000000"> </td>
<td> </td>
</tr>
<tr valign="bottom">
<td>
<div style="margin-left:15px; text-indent:-15px">Balance, June 30, 2010
</div></td>
<td> </td>
<td align="left">$</td>
<td align="right">1,090</td>
<td> </td>
<td> </td>
<td align="left">$</td>
<td align="right">4,929</td>
<td> </td>
<td> </td>
<td align="left">$</td>
<td align="right">6,019</td>
<td> </td>
</tr>
<tr style="font-size: 1px">
<td>
<div style="margin-left:15px; text-indent:-15px"> 
</div></td>
<td> </td>
<td nowrap="nowrap" colspan="2" align="right" style="border-top: 3px double #000000"> </td>
<td> </td>
<td> </td>
<td nowrap="nowrap" colspan="2" align="right" style="border-top: 3px double #000000"> </td>
<td> </td>
<td> </td>
<td nowrap="nowrap" colspan="2" align="right" style="border-top: 3px double #000000"> </td>
<td> </td>
</tr>
<!-- End Table Body -->
</table>
</div>
<div align="left" style="font-size: 10pt; margin-top: 6pt">     In connection with our acquisition of Matria, we implemented an integration plan to improve
operating efficiencies and eliminate redundant costs resulting from the acquisition. The
restructuring plan impacted all cost centers within the Matria organization, as activities were
combined with our existing business operations. We recorded $18.7 million in exit costs, of which
$13.8 million relates to change of control and severance costs to
involuntarily terminate employees
and $4.8 million related to facility exit costs. During the first quarter of 2010, we determined
that $1.5 million in change of control costs would not be incurred, therefore reducing the assumed
liability and goodwill related to the Matria acquisition. As of June 30, 2010, $2.1 million in exit
costs remain unpaid. See Note 10 for additional restructuring charges related to the Matria
facility exit costs within the health management business segment.
</div>
<div align="left" style="font-size: 10pt; margin-top: 6pt">     During 2007, we formulated restructuring plans in connection with our acquisition of
Cholestech Corporation, or Cholestech, consistent with our acquisition strategy to realize
operating efficiencies and cost savings. Additionally, in March 2008, we announced plans to close
the Cholestech facility in Hayward, California. We have transitioned the manufacturing of the
related products to our facility in San Diego,
California and have transitioned the sales and distribution of the products to our shared services
center in
Orlando, Florida. Since inception of the plans, we recorded $9.2 million in exit costs, of
which $6.5 million relates to executive change of control agreements and severance costs to
involuntarily terminate employees and $2.7 million relates to facility exit costs. As of June 30,
2010, $3.0 million in exit costs remain unpaid. See Note 10 for additional restructuring charges
related to the Cholestech facility closure and integration.
</div>
<div align="left" style="font-size: 10pt; margin-top: 6pt">     As a result of our acquisitions of Panbio Limited, or Panbio, Matritech, Inc. and Ostex
International, Inc., we established plans to exit facilities and realize efficiencies and cost
savings. Total costs associated with these plans were $6.5 million, of which $1.8 million related
to severance costs and $4.7 million related to facility and exit costs. As of June 30, 2010, $0.9
million in facility costs remain unpaid.
</div>
<div align="left" style="font-size: 10pt; margin-top: 6pt">     Although we believe our plans and estimated exit costs for our acquisitions are reasonable,
actual spending for exit activities may differ from current estimated exit costs.
</div>
<div align="left" style="font-size: 10pt; margin-top: 6pt">     <i>(d) Pro Forma Financial Information</i>
</div>
<div align="left" style="font-size: 10pt; margin-top: 6pt">     The following table presents selected unaudited financial information of our company,
including the assets of the ACON Second Territory Business and Standard Diagnostics as if the
acquisition of these entities had occurred on January 1, 2009. Pro forma results exclude
adjustments for various other less significant acquisitions completed since January 1, 2009, as
these acquisitions did not materially affect our results of operations. The less significant 2009
and 2010 acquisitions contributed $77.5 million and $150.6 million of net revenue during the three
and six months ended June 30, 2010, respectively, and $8.7 million during the three and six months
ended June 30, 2009.
</div>
<div align="left" style="font-size: 10pt; margin-top: 6pt">     The pro forma results are derived from the historical financial results of the acquired
businesses for the periods presented and are not necessarily indicative of the results that would
have occurred had the acquisitions been consummated on January 1, 2009 (in thousands, except per
share amounts).
</div>
<div align="center">
<table style="font-size: 10pt; text-align: left" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<tr valign="bottom">
<td width="55%"> </td>
<td width="2%"> </td>
<td width="1%"> </td>
<td width="5%"> </td>
<td width="1%"> </td>
<td width="5%"> </td>
<td width="1%"> </td>
<td width="5%"> </td>
<td width="1%"> </td>
<td width="5%"> </td>
<td width="1%"> </td>
<td width="5%"> </td>
<td width="1%"> </td>
<td width="5%"> </td>
<td width="1%"> </td>
<td width="5%"> </td>
<td width="1%"> </td>
</tr>
<tr style="font-size: 8pt" valign="bottom">
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="6" style="border-bottom: 1px solid #000000"><b>Three Months Ended June 30,</b></td>
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="6" style="border-bottom: 1px solid #000000"><b>Six Months Ended June 30,</b></td>
<td> </td>
</tr>
<tr style="font-size: 8pt" valign="bottom">
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="2" style="border-bottom: 1px solid #000000"><b>2010</b></td>
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="2" style="border-bottom: 1px solid #000000"><b>2009</b></td>
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="2" style="border-bottom: 1px solid #000000"><b>2010</b></td>
<td> </td>
<td> </td>
<td nowrap="nowrap" align="center" colspan="2" style="border-bottom: 1px solid #000000"><b>2009</b></td>
<td> </td>
</tr>
<!-- End Table Head -->
<!-- Begin Table Body -->
<tr valign="bottom" style="background: #cceeff">
<td>
<div style="margin-left:15px; text-indent:-15px">Pro forma net revenue
</div></td>
<td> </td>
<td align="left">$</td>
<td align="right">522,960</td>
<td> </td>
<td> </td>
<td align="left">$</td>
<td align="right">453,744</td>
<td> </td>
<td> </td>
<td align="left">$</td>
<td align="right">1,044,367</td>
<td> </td>
<td> </td>
<td align="left">$</td>
<td align="right">899,782</td>
<td> </td>
</tr>
<tr style="font-size: 1px">
<td>
<div style="margin-left:15px; text-indent:-15px"> 
</div></td>
<td> </td>
<td nowrap="nowrap" colspan="2" align="right" style="border-top: 3px double #000000"> </td>
<td> </td>
<td> </td>
<td nowrap="nowrap" colspan="2" align="right" style="border-top: 3px double #000000"> </td>
<td> </td>
<td> </td>
<td nowrap="nowrap" colspan="2" align="right" style="border-top: 3px double #000000"> </td>
<td> </td>
<td> </td>
<td nowrap="nowrap" colspan="2" align="right" style="border-top: 3px double #000000"> </td>
<td> </td>
</tr>
<tr valign="bottom">
<td>
<div style="margin-left:15px; text-indent:-15px">Pro forma net (loss)
income from continuing
operations attributable
to Alere Inc. and
Subsidiaries
</div></td>
<td> </td>
<td nowrap="nowrap" align="left">$</td>
<td align="right">(6,419</td>
<td nowrap="nowrap">)</td>
<td> </td>
<td align="left">$</td>
<td align="right">436</td>
<td> </td>
<td> </td>
<td nowrap="nowrap" align="left">$</td>
<td align="right">(7,284</td>
<td nowrap="nowrap">)</td>
<td> </td>
<td nowrap="nowrap" align="left">$</td>
<td align="right">(1,033</td>
<td nowrap="nowrap">)</td>
</tr>
<tr style="font-size: 1px">
<td>
<div style="margin-left:15px; text-indent:-15px"> 
</div></td>
<td> </td>
<td nowrap="nowrap" colspan="2" align="right" style="border-top: 3px double #000000"> </td>
<td> </td>
<td> </td>
<td nowrap="nowrap" colspan="2" align="right" style="border-top: 3px double #000000"> </td>
<td> </td>
<td> </td>
<td nowrap="nowrap" colspan="2" align="right" style="border-top: 3px double #000000"> </td>
<td> </td>
<td> </td>
<td nowrap="nowrap" colspan="2" align="right" style="border-top: 3px double #000000"> </td>
<td> </td>
</tr>
<tr valign="bottom" style="background: #cceeff">
<td>
<div style="margin-left:15px; text-indent:-15px">Pro forma net (loss)
income available to
common stockholders
</div></td>
<td> </td>
<td nowrap="nowrap" align="left">$</td>
<td align="right">(6,454</td>
<td nowrap="nowrap">)</td>
<td> </td>
<td align="left">$</td>
<td align="right">270</td>
<td> </td>
<td> </td>
<td align="left">$</td>
<td align="right">4,628</td>
<td> </td>
<td> </td>
<td nowrap="nowrap" align="left">$</td>
<td align="right">(2,547</td>
<td nowrap="nowrap">)</td>
</tr>
<tr style="font-size: 1px">
<td>
<div style="margin-left:15px; text-indent:-15px"> 
</div></td>
<td> </td>
<td nowrap="nowrap" colspan="2" align="right" style="border-top: 3px double #000000"> </td>
<td> </td>
<td> </td>
<td nowrap="nowrap" colspan="2" align="right" style="border-top: 3px double #000000"> </td>
<td> </td>
<td> </td>
<td nowrap="nowrap" colspan="2" align="right" style="border-top: 3px double #000000"> </td>
<td> </td>
<td> </td>
<td nowrap="nowrap" colspan="2" align="right" style="border-top: 3px double #000000"> </td>
<td> </td>
</tr>
<tr valign="bottom">
<td>
<div style="margin-left:15px; text-indent:-15px">Pro forma net (loss)
income from continuing
operations attributable
to Alere Inc. and
Subsidiaries per common
share —
basic<sup style="font-size: 85%; vertical-align: text-top">(1)</sup>
</div></td>
<td> </td>
<td nowrap="nowrap" align="left">$</td>
<td align="right">(0.08</td>
<td nowrap="nowrap">)</td>
<td> </td>
<td align="left">$</td>
<td align="right">0.01</td>
<td> </td>
<td> </td>
<td nowrap="nowrap" align="left">$</td>
<td align="right">(0.09</td>
<td nowrap="nowrap">)</td>
<td> </td>
<td nowrap="nowrap" align="left">$</td>
<td align="right">(0.01</td>
<td nowrap="nowrap">)</td>
</tr>
<tr style="font-size: 1px">
<td>
<div style="margin-left:15px; text-indent:-15px"> 
</div></td>
<td> </td>
<td nowrap="nowrap" colspan="2" align="right" style="border-top: 3px double #000000"> </td>
<td> </td>
<td> </td>
<td nowrap="nowrap" colspan="2" align="right" style="border-top: 3px double #000000"> </td>
<td> </td>
<td> </td>
<td nowrap="nowrap" colspan="2" align="right" style="border-top: 3px double #000000"> </td>
<td> </td>
<td> </td>
<td nowrap="nowrap" colspan="2" align="right" style="border-top: 3px double #000000"> </td>
<td> </td>
</tr>
<tr valign="bottom" style="background: #cceeff">
<td>
<div style="margin-left:15px; text-indent:-15px">Pro forma net (loss)
income from continuing
operations attributable
to Alere Inc. and
Subsidiaries per common
share —
diluted<sup style="font-size: 85%; vertical-align: text-top">(1)</sup>
</div></td>
<td> </td>
<td nowrap="nowrap" align="left">$</td>
<td align="right">(0.08</td>
<td nowrap="nowrap">)</td>
<td> </td>
<td align="left">$</td>
<td align="right">0.01</td>
<td> </td>
<td> </td>
<td nowrap="nowrap" align="left">$</td>
<td align="right">(0.09</td>
<td nowrap="nowrap">)</td>
<td> </td>
<td nowrap="nowrap" align="left">$</td>
<td align="right">(0.01</td>
<td nowrap="nowrap">)</td>
</tr>
<tr style="font-size: 1px">
<td>
<div style="margin-left:15px; text-indent:-15px"> 
</div></td>
<td> </td>
<td nowrap="nowrap" colspan="2" align="right" style="border-top: 3px double #000000"> </td>
<td> </td>
<td> </td>
<td nowrap="nowrap" colspan="2" align="right" style="border-top: 3px double #000000"> </td>
<td> </td>
<td> </td>
<td nowrap="nowrap" colspan="2" align="right" style="border-top: 3px double #000000"> </td>
<td> </td>
<td> </td>
<td nowrap="nowrap" colspan="2" align="right" style="border-top: 3px double #000000"> </td>
<td> </td>
</tr>
<tr valign="bottom">
<td>
<div style="margin-left:15px; text-indent:-15px">Pro forma net (loss)
income available to
common stockholders —
basic<sup style="font-size: 85%; vertical-align: text-top">(1)</sup>
</div></td>
<td> </td>
<td nowrap="nowrap" align="left">$</td>
<td align="right">(0.08</td>
<td nowrap="nowrap">)</td>
<td> </td>
<td align="left">$</td>
<td align="right">—</td>
<td> </td>
<td> </td>
<td align="left">$</td>
<td align="right">0.06</td>
<td> </td>
<td> </td>
<td nowrap="nowrap" align="left">$</td>
<td align="right">(0.03</td>
<td nowrap="nowrap">)</td>
</tr>
<tr style="font-size: 1px">
<td>
<div style="margin-left:15px; text-indent:-15px"> 
</div></td>
<td> </td>
<td nowrap="nowrap" colspan="2" align="right" style="border-top: 3px double #000000"> </td>
<td> </td>
<td> </td>
<td nowrap="nowrap" colspan="2" align="right" style="border-top: 3px double #000000"> </td>
<td> </td>
<td> </td>
<td nowrap="nowrap" colspan="2" align="right" style="border-top: 3px double #000000"> </td>
<td> </td>
<td> </td>
<td nowrap="nowrap" colspan="2" align="right" style="border-top: 3px double #000000"> </td>
<td> </td>
</tr>
<tr valign="bottom" style="background: #cceeff">
<td>
<div style="margin-left:15px; text-indent:-15px">Pro forma net (loss)
income available to
common stockholders —
diluted<sup style="font-size: 85%; vertical-align: text-top">(1)</sup>
</div></td>
<td> </td>
<td nowrap="nowrap" align="left">$</td>
<td align="right">(0.08</td>
<td nowrap="nowrap">)</td>
<td> </td>
<td align="left">$</td>
<td align="right">—</td>
<td> </td>
<td> </td>
<td align="left">$</td>
<td align="right">0.06</td>
<td> </td>
<td> </td>
<td nowrap="nowrap" align="left">$</td>
<td align="right">(0.03</td>
<td nowrap="nowrap">)</td>
</tr>
<tr style="font-size: 1px">
<td>
<div style="margin-left:15px; text-indent:-15px"> 
</div></td>
<td> </td>
<td nowrap="nowrap" colspan="2" align="right" style="border-top: 3px double #000000"> </td>
<td> </td>
<td> </td>
<td nowrap="nowrap" colspan="2" align="right" style="border-top: 3px double #000000"> </td>
<td> </td>
<td> </td>
<td nowrap="nowrap" colspan="2" align="right" style="border-top: 3px double #000000"> </td>
<td> </td>
<td> </td>
<td nowrap="nowrap" colspan="2" align="right" style="border-top: 3px double #000000"> </td>
<td> </td>
</tr>
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<div style="font-size: 3pt; margin-top: 16pt; width: 18%; border-top: 1px solid #000000"> 
</div>
</div>
<table width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt; text-align: left">
<tr>
<td width="3%"></td>
<td width="1%"></td>
<td width="96"></td>
</tr>
<tr valign="top">
<td nowrap="nowrap" align="left"><sup style="font-size: 85%; vertical-align: text-top">(1)</sup></td>
<td> </td>
<td>Net (loss) income per common share amounts are computed as described in Note 5.</td>
</tr>
</table>
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<!-- Begin Block Tagged Notefalsefalsefalseus-types:textBlockItemTypetextblockDescription of a business combination (or series of individually immaterial business combinations) completed during the period, including background, timing, and recognized assets and liabilities. This element may be used as a single block of text to encapsulate the entire disclosure (including data and tables) regarding business combinations, including leverage buyout transactions (as applicable).Reference 1: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Statement of Financial Accounting Standard (FAS)
-Number 141
-Paragraph 51, 52
Reference 2: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Emerging Issues Task Force (EITF)
-Number 88-16
Reference 3: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Statement of Financial Accounting Standard (FAS)
-Number 141R
-Paragraph 67-73
Reference 4: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Statement of Financial Accounting Standard (FAS)
-Number 141R
-Paragraph F4
-Subparagraph e
-Appendix F
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