VALUE ANALYSIS COMMITTEE PRODUCT INFORMATION KIT

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VALUE ANALYSIS COMMITTEE PRODUCT INFORMATION KIT Versatex Monofilament Mesh Macroporous flatsheet for preperitoneal hernia repair HERNIA CARE MESH FIXATION BIOLOGICS DISSECTION

HERNIA REPAIR We have established ourselves as the market leader in hernia repair, with innovations that continue to set new standards in quality, ease of use, and value. Drawing on 20 years of cutting-edge biomedical engineering, our mastery of balanced mesh properties is matched by our understanding of what best serves the needs of surgeons, patients, and hospitals. At the same time, we remain responsive to the needs of hospitals for products that deliver consistent high quality at a justifiable price. 3

4 4 VERSATEX MESH PRODUCT INFORMATION KIT

TABLE OF CONTENTS Product Introduction... 6 Features and Benefits... 8 Product Specifications... 10 Value Proposition... 12 Reimbursement... 13 Competitive Products Overview... 16 Materials Management... 18 References... 19 5

PRODUCT INTRODUCTION Versatex Monofilament Mesh 6

Why should a hospital purchase Versatex monofilament mesh? Surgical Focus Versatex monofilament mesh offers a balanced combination of macroporosity, surface density, and mechanical strength for successful hernia repair. 1-3,7 The high macroporosity offers enhanced mesh transparency to improve anatomy visualization, and the centering and orientation marking facilitates mesh positioning. *,Ω,6,11 Economic Value Versatex monofilament mesh is available in comprehensive flat sheet range for small, medium, and large open ventral and open/lap inguinal hernia repair. 10,11 The versatile range allows product standardization of procedures and helps optimize efficiency in the hospital with flexible stocking options of single and 3-unit packages. 10 7

FEATURES AND BENEFITS Smart design Innovative features for streamlined performance in preperitoneal hernia repair. Hydrophilic, monofilament textile7,9 Base textile with exclusive 3D construct7 Macroporous (2.1 x 3.0 mm) with hexagonal shape 1,7,8 Medium weight (64 g/m2 ) 1,7 Robust mechanical strength with balanced softness and rigidity 3,4,7,11 Comprehensive range for open ventral and open/lap inguinal defects 10,11 Flexible stocking options available in single and 3-unit packaging 10 8

Smart handling Experience ease of use in preperitoneal hernia repair Mesh transparency for improved anatomy visualization during placement and fixation. Ω,6 Centering and orientation marking facilitates mesh positioning. *,11 Flexibility for easy mesh handling and abdominal wall conformability. 11 Smart repair Designed to offer excellent hernia repair performance^,,3,4,7 3D macroporous structure with hexagonal pore shape delivers reinforced textile strength and facilitates excellent tissue ingrowth,4,7 Balanced combination of macroporosity, surface density, and mechanical strength for successful hernia repair 1-3,7 Designed for improved mesh integration and reduced complications related to mesh shrinkage and scar plate formation,4,7 9

PRODUCT SPECIFICATIONS Indication for use Versatex monofilament mesh is intended for the repair of abdominal wall hernias or other fascial deficiencies that require the addition of a reinforcing material 10

Material composition 3D textile non-absorbable monofilament polyester (PET) base textile 2D textile non-absorbable monofilament polyester (PET) green marking textile* Pore size 7 2.1 mm x 3.0 mm Pore shape 7 Hexagon Sterilization method Gamma radiation Shelf life 5 years Weight 7 Surface density (64 g/m2 ) Mesh-fixation device compatibility Compatible with current fixation devices on the market including ReliaTack articulating reloadable fixation device,11,14-16 11

VALUE PROPOSITION Value proposition for excellent hernia repair performance Versatex monofilament mesh is designed to offer excellent hernia repair performance with improved mesh integration and reduced complications related to mesh shrinkage and scar plate formation.,,^,3,4,7 The biocompatible mesh is composed of polyester material with 3D macroporous structure and hexagonal pore shape. 1,7,13 Polyester material and large pore size (macroporosity) are the main determinants of local tissue tolerance, i.e., successful mesh integration and favorable tissue response.,4,5 The 3D structure delivers reinforced textile strength and polyester s hydrophilic nature facilitates excellent tissue ingrowth,4,7 The large hexagonal pore shape delivers strongest tissue ingrowth and most favorable tissue response,,2 Further, polyester-based meshes have been used for 15 years with excellent clinical outcomes in regards to recurrence and infection rate. A meta-analysis demonstrated that meshes in polyester material do not cause more complications (recurrence and infection rate) than polypropylene.,,12 12

REIMBURSEMENT CPT Procedure Codes Inguinal hernia (laparoscopic) CPT HCPCS Code Procedure Description * MPFS (CF=&35.7547) Fac/Non-Fac APC Class APC Descriptor Hospital Outpatient Rate ASC 49650 Laparoscopy, surgical; repair initial inguinal hernia 49651 Laparoscopy, surgical; repair recurrent inguinal hernia $441.21 131 Level II Laparoscopy $3,779.40 $2,070.94 $573.86 131 Level II Laparoscopy $3,779.40 $2,070.94 Incisional/ventral hernia (open) CPT HCPCS Code Procedure Description * MPFS (CF=&35.7547) Fac/Non-Fac APC Class APC Descriptor Hospital Outpatient Rate ASC 49560 Repair initial incisional or ventral hernia; reducible 49561 Repair initial incisional or ventral hernia; incarcerated or strangulated 49565 Repair recurrent incisional or ventral hernia; reducible 49566 Repair recurrent incisional or ventral hernia; incarcerated or strangulated $760.86 154 Hernia/Hydrocele Procedures $573.86 154 Hernia/Hydrocele Procedures $760.86 154 Hernia/Hydrocele Procedures $573.86 154 Hernia/Hydrocele Procedures $2,675.43 $1,466.02 $2,675.43 $1,466.02 $2,675.43 $1,466.02 $2,675.43 $1,466.02 ICD-9-CM Volume 3 Hospital Procedure Codes (Inpatient) Inguinal Hernia (Laparoscopic) Procedure Code Description 17.11 Laparoscopic repair of direct inguinal hernia with graft or prosthesis 17.12 Laparoscopic repair of indirect inguinal hernia with graft or prosthesis 17.13 Laparoscopic repair of inguinal hernia with graft or prosthesis, not otherwise specified 17.21 Laparoscopic bilateral repair of direct inguinal hernia with graft or prosthesis 17.22 Laparoscopic bilateral repair of indirect inguinal hernia with graft or prosthesis 17.23 Laparoscopic bilateral repair of inguinal hernia, one direct and one indirect, with graft or prosthesis 17.24 Laparoscopic bilateral repair of inguinal hernia with graft or prosthesis, not otherwise specified 13

REIMBURSEMENT Incisional/Ventral Hernia (Open) Procedure Code Description 53.51 Incisional hernia repair 53.59 Repair of other hernia of anterior abdominal wall 53.61 Other open incisional hernia repair with graft or prosthesis 53.69 Other and open repair of other hernia of anterior abdominal wall with graft or prosthesis Inguinal Hernia (Open) Procedure Code Description 53.00 Unilateral repair of inguinal hernia, not otherwise specified 53.01 Other and open repair of direct inguinal hernia 53.02 Other and open repair of indirect inguinal hernia 53.03 Other and open repair of direct inguinal hernia with graft or prosthesis 53.04 Other and open repair of indirect inguinal hernia with graft or prosthesis 53.05 Repair of inguinal hernia with graft or prosthesis, not otherwise specified 53.1 Bilateral repair of inguinal hernia, not otherwise specified 53.11 Other and open bilateral repair of direct inguinal hernia 53.12 Other and open bilateral repair of indirect inguinal hernia 53.13 Other and open bilateral repair of inguinal hernia; one direct and one indirect 53.14 Other and open bilateral repair of direct inguinal hernia with graft or prosthesis 53.15 Other and open bilateral repair of indirect inguinal hernia with graft or prosthesis 53.16 Other and open bilateral repair of inguinal hernia; one direct and one indirect with graft or prothesis 53.17 Bilateral inguinal hernia repair with graft or prosthesis, not otherwise specified INPATIENT DRG PAYMENT RATES Inguinal: Open or Laparoscopic MS-DRG \\ MS-DRG Title 350 Inguinal & Femoral Hernia Procedures w MCC 351 Inguinal & Femoral Hernia Procedures w CC 352 Inguinal & Femoral Hernia Procedures w/o CC/MCC Incisional: Open or Laparoscopic MS-DRG \\ MS-DRG Title 353 Hernia Procedures Except Inguinal & Femoral w MCC 354 Hernia Procedures Except Inguinal & Femoral w CC 355 Hernia Procedures Except Inguinal & Femoral w/o CC/MCC \\PFS Relative Value Files, RVU15A (12-23-14), effective July 1, 2015. 14

15

COMPETITIVE PRODUCTS OVERVIEW Versatex monofilament mesh is composed of polyester material with large pore size (macroporosity), which are the main determinants of local tissue tolerance (successful mesh integration and favorable tissue response).,4,5,7 Additionally, Versatex monofilament mesh is designed to simplify intra-operative handling for surgeons through improved visualization, ease of mesh positioning, and a wide selection of mesh sizes. 6,10,11 Versatex Monofilament Mesh BARD * Soft Mesh BARD * Mesh PROLENE * Soft Mesh PROLENE * Mesh ULTRAPRO * Parietex After 3D Mesh Absorption of polyglecaprone 25 Structure 8 3D 2D 2D 2D 2D 2D 3D 2D Parietex Lightweight Mesh Composition 8 Monofilament Monofilament Monofilament Monofilament Monofilament Monofilament Multifilament Monofilament Material 8 Polyester Polypropylene Polypropylene Polypropylene Polypropylene Polypropylene Polyester Polyester Pore Size 8 2.1 x 3.0 mm 3.0 x 1.0 mm (triangle shape) 3.0 x 0.7 mm (rectangle shape) 0.9 x 0.7 mm 2.4 x 1.7 mm 1.0 x 0.7 mm 2.3 x 3.4 mm 1.9 x 2.4 mm 1.5 x 1.5 mm Surface Density (g/m 2 ) 8 Marking to Facilitate Positioning 64 41 99 42 76 34 85 45 Yes No No No No Yes No No Portfolio Range ± 11 x 6 cm 50 x 50 cm 10 x 5 cm 30.5 x 30.5 cm 10 x 2.5cm 15 x15 cm 15 x 15 cm 35.6 x 30 cm 10 x 2.5 cm 30 x 30 cm 11 x 6 cm 30 x 30 cm 12 x 8 cm 50 x 50 cm 11 x 6 cm 45 x 30 cm ± Competitive portfolio range information accessed from respective company website/product catalog in August 2015 16

Versatex monofilament mesh offers a balanced combination of macroporosity, surface density and mechanical strength for successful preperitoneal hernia repair. 1,3,7,8 Greater macroporosity compared to current non-absorbable flat sheet meshes,ω,8 Medium-weight surface density (64 g/m2 ) 1,7 Mechanical strength values are higher or within the same range of current non-absorbable flat sheet meshes on the market,8 17

MATERIALS MANAGEMENT Packaging information Versatex monofilament mesh is available in a wide range of shapes and sizes to accommodate small, medium, and large open ventral and open/lap hernia repair. 10,11 The monofilament flat sheet mesh has flexible stocking options with references available in 1- and 3-unit packages. 10 Ordering information medtronic.com/covidien/products/hernia-repair Product Codes Shape Size Centering and orientation marking Units per package VTX1106 Rectangular 11 x 6 cm No 1 VTX1106X3 Rectangular 11 x 6 cm No 3 VTX1510 Rectangular 15 x 10 cm No 1 VTX1510X3 Rectangular 15 x 10 cm No 3 VTX1515 Square 15 x 15 cm No 1 VTX1515X3 Square 15 x 15 cm No 3 VTX1515M Square 15 x 15 cm Yes 1 VTX1515MX3 Square 15 x 15 cm Yes 3 VTX2020M Square 20 x 20 cm Yes 1 VTX3030M Square 30 x 30 cm Yes 1 VTX4530M Rectangular 45 x 30 cm Yes 1 VTX5050M Square 50 x 50 cm Yes 1 18

References 1. Deeken CR, Abdo MS, Frisella MM, Matthews BD. Physicomechanical evaluation of polypropylene, polyester, and polytetrafluoroethylene meshes for inguinal hernia repair. J Am Coll Surg. 2011;212(1):68-79. 2. Lake S, Ray S, Zihni AM, Thompson DM Jr, Gluckstein J, Deeken CR. Pore size and pore shape but not mesh density alter the mechanical strength of tissue ingrowth and host tissue response to synthetic mesh materials in a porcine model of ventral hernia repair. J Mech Behav Biomed Mater. 2015;42:186-197. 3. Based on Versatex monofilament mesh IFU. 4. Cobb W, Lomanto D, Lecuivre J, Weyhe, D, et al. Comparative analysis of the performance of a series of meshes based on weight and pore size in a novel minipig hernia model. Hernia Repair 2013, American Hernia Society; Orlando, FL, March 13-16, 2013. 5. Based on internal test report #T2306CR022a assessing safety and local tolerance. October 2014. 6. Based on internal test report #T2306CR044a evaluating design for improved visualization during placement. March 2015. 7. Based on internal test report #T2306CR062a/TEX044d evaluating 3DS/3DV textile characterization. April 2015. 8. Based on internal test report #T2306CR042b assessing physical and mechanical properties of Versatex vs. current meshes on the market. April 2015. 9. Lefranc O, Bayon Y, Montanari S, Gravagna P, Therin M. Reinforcement material in soft tissue repair: key parameters controlling tolerance and performance current and future trends in mesh development. In: von Theobald P, et al, eds. New Techniques in Genital Prolapse Surgery. London, UK: Springer: 2011:275-287. 10. Based on internal report #T2306CR043a assessing size and shape comparison chart. March 2015. 11. Based on Versatex monofilament mesh evaluation by surgeons for design validation. Internal report #T2306CR053b. March 2015. 12. Based on internal meta-analysis comparing PET vs PP. Internal report #T2306CR061a. April 2015. 13. Based on biological evaluation report BIO054-b for Versatex monofilament mesh. Internal report #2306. February 2015. 14. Based on internal report #T2306CR040a evaluating compatibility of Versatex monofilament mesh with AbsorbaTack 30X. February 2015. 15. Based on internal report # T2306CR050a assessing compatibility of type 3DS/3DV textile with different fixation means. February 2015. 16. Based on internal test report #T2306CR060a evaluating compatibility of Versatex monofilament mesh with ReliaTack articulating reloadable fixation device. February 2015. As demonstrated in porcine hernia model. Based on preclinical study. Ω Based on effective porosity vs Bard * Mesh, Bard * Soft Mesh, Prolene *, Prolene * Soft, Mersilene *, Optilene * LP, Parietex * 3D, SurgiPro * range, Parietene *, Parietex Lightweight and Parietene * Light. * Marking available for mesh sizes 15x15 cm. ^ 3D macroporous design facilitates excellent tissue integration and reduced complications related to mesh shrinkage, foreign body reaction and scar plate formation Recurrence and infection rate with polyester meshes is equivalent to polypropylene meshes. Based on meta-analysis performed internally. Compared to square and diamond shape pore. Based on benchtop compatibility testing of Versatex monofilament mesh with AbsorbaTack, AbsorbaTack 30X, ProTack, SecureStrap *, SorbaFix *. Based on benchtop testing and comparison of obtained mean values and standard deviations vs. Bard * Soft Mesh, Prolene * Soft, Parietex 3-D, Parietene Light, Parietex Lightweight, Ultrapro * after poliglecaprone 25 full absorption. Always refer to the Instructions for Use packaged with the product for complete instructions, indications, contraindications, warnings and precautions. 19

Our comprehensive product portfolio can enhance your hernia repair procedures. IMPORTANT: Please refer to the package insert for complete instructions, contraindications, warnings and precautions. 2016 Medtronic. All rights reserved. Medtronic, Medtronic logo and Further, Together are trademarks of Medtronic. * Third party brands are trademarks of their respective owners. All other brands are trademarks of a Medtronic company. 16-eu-versatex-vac-pack-906279 For more information, please visit medtronic.eu/product-catalog To find out more about hernia care products please visit medtronic.eu/herniacare IMPORTANT: Please refer to the package insert for complete instructions, contraindications, warnings and precautions. Use scan app to read 2016 Medtronic. All rights reserved. Medtronic, Medtronic logo and Further, Together are trademarks of Medtronic. * Third party brands are trademarks of their respective owners. All other brands are trademarks of a Medtronic company. 16-eu-versatex-vac-pack-906279