GENERAL

The consolidated condensed financial statements included herein have been prepared by Danaher Corporation (the “Company”) without audit, pursuant to the rules and regulations of the Securities and Exchange Commission. Certain information and footnote disclosures normally included in financial statements prepared in accordance with accounting principles generally accepted in the United States have been condensed or omitted pursuant to such rules and regulations; however, the Company believes that the disclosures are adequate to make the information presented not misleading. The condensed financial statements included herein should be read in conjunction with the financial statements as of and for the year ended December 31, 2012 and the Notes thereto included in the Company’s 2012 Annual Report on Form 10-K.

In the opinion of the registrant, the accompanying financial statements contain all adjustments (consisting of only normal recurring accruals) necessary to present fairly the financial position of the Company as of September 27, 2013 and December 31, 2012, and its results of operations for the three and nine months ended September 27, 2013 and September 28, 2012 and its cash flows for each of the nine month periods then ended.

Accumulated Other Comprehensive Income (Loss) - Effective January 1, 2013, the Company adopted accounting guidance that requires the Company to separately disclose, on a prospective basis, the change in each component of other comprehensive income (loss) relating to reclassification adjustments and current period other comprehensive income (loss). Foreign currency translation adjustments are generally not adjusted for income taxes as they relate to indefinite investments in non-U.S. subsidiaries. The changes in accumulated other comprehensive income (loss) by component for the three and nine months ended September 27, 2013 and September 28, 2012 are summarized below ($ in millions).



	Foreign currency translation adjustments		Pension and post-retirement plan benefit adjustments				Unrealized gain on available-for- sale securities			Total
For the Three Months Ended September 27, 2013:
Balance, June 28, 2013	$	89.7	$	(644.7	)		$	176.4		$	(378.6	)
Other comprehensive income (loss) before reclassifications:
Pre-tax income	288.2		—				95.4			383.6
Income tax expense	—		—				(35.7		)	(35.7		)
Other comprehensive income (loss) before reclassifications, net of income taxes	288.2		—				59.7			347.9
Amounts reclassified from accumulated other comprehensive income (loss):
Pre-tax income	—		8.4			(1)	—			8.4
Income tax expense	—		(2.9		)		—			(2.9		)
Amounts reclassified from accumulated other comprehensive income (loss), net of income taxes	—		5.5				—			5.5
Net current period other comprehensive income, net of income taxes	288.2		5.5				59.7			353.4
Balance, September 27, 2013	$	377.9	$	(639.2	)		$	236.1		$	(25.2	)

(1) This accumulated other comprehensive income (loss) component is included in the computation of net periodic pension cost (refer to Note 8 for additional details).



	Foreign currency translation adjustments			Pension and post-retirement plan benefit adjustments				Unrealized gain on available-for- sale securities			Total
For the Three Months Ended September 28, 2012:
Balance, June 29, 2012	$	284.4		$	(503.1	)		$	143.8		$	(74.9	)
Net current period other comprehensive income (loss):
Pre-tax income	193.5			12.7				37.2			243.4
Income tax expense	—			(4.6		)		(14.0		)	(18.6		)
Net current period other comprehensive income, net of income taxes	193.5			8.1				23.2			224.8
Balance, September 28, 2012	$	477.9		$	(495.0	)		$	167.0		$	149.9

For the Nine Months Ended September 27, 2013:
Balance, December 31, 2012	$	475.3		$	(655.7	)		$	121.2		$	(59.2	)
Other comprehensive income (loss) before reclassifications:
Pre-tax income (loss)	(97.4		)	—				183.8			86.4
Income tax expense	—			—				(68.9		)	(68.9		)
Other comprehensive income (loss) before reclassifications, net of income taxes	(97.4		)	—				114.9			17.5
Amounts reclassified from accumulated other comprehensive income (loss):
Pre-tax income	—			25.2			(1)	—			25.2
Income tax expense	—			(8.7		)		—			(8.7		)
Amounts reclassified from accumulated other comprehensive income (loss), net of income taxes	—			16.5				—			16.5
Net current period other comprehensive income (loss), net of income taxes	(97.4		)	16.5				114.9			34.0
Balance, September 27, 2013	$	377.9		$	(639.2	)		$	236.1		$	(25.2	)

For the Nine Months Ended September 28, 2012:
Balance, December 31, 2011	$	384.5		$	(516.0	)		$	94.6		$	(36.9	)
Net current period other comprehensive income (loss):
Pre-tax income	93.4			33.0				115.9			242.3
Income tax expense	—			(12.0		)		(43.5		)	(55.5		)
Net current period other comprehensive income, net of income taxes	93.4			21.0				72.4			186.8
Balance, September 28, 2012	$	477.9		$	(495.0	)		$	167.0		$	149.9

(1) This accumulated other comprehensive income (loss) component is included in the computation of net periodic pension cost (refer to Note 8 for additional details).