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Boston Scientific Announces Results for Third Quarter Ended September 30, 2008
Date:10/21/2008

ency to U.S. dollars using constant foreign exchange rates. The GAAP measure most comparable to this non-GAAP measure is growth rate percentages based on GAAP revenue. A reconciliation of this non-GAAP financial measure to the corresponding GAAP measure is included in the accompanying schedules.

Use and Economic Substance of Non-GAAP Financial Measures Used by Boston Scientific

Management uses these supplemental non-GAAP measures to evaluate performance period over period, to analyze the underlying trends in the Company's business, to assess its performance relative to its competitors, and to establish operational goals and forecasts that are used in allocating resources. In addition, management uses these non-GAAP measures to further its understanding of the performance of the Company's operating segments. The adjustments excluded from the Company's non-GAAP measures are consistent with those excluded from its reportable segments' measure of profit or loss. These adjustments are excluded from the segment measures that are reported to the Company's chief operating decision maker and are used to make operating decisions and assess performance.

The following is an explanation of each of the adjustments that management excluded as part of its non-GAAP measures for the three and nine month periods ending September 30, 2008 and September 30, 2007 and for the forecasted three month period ending December 31, 2008, as well as reasons for excluding each of these individual items:

-- Acquisition-related (credits) charges - These adjustments primarily

consist of a gain resulting from the receipt of an acquisition-related

milestone payment, purchased research and development, integration

costs associated with the Company's acquisition of Guidant, and a fair

value adjustment related to the sharing of proceeds feature of the

Abbott stock purchase. The acquisition-related milestone payment is one

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SOURCE Boston Scientific Corporation
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