Edwards Lifesciences Reports Strong Fourth Qua...(Pension settlement and adjustment 11....),Health

3) Reversal of gain on estimated

insurance settlement 2.5 - - -

4) Gain on sale of assets, net (1.8) (6.1) (1.8) (13.7)

5) Gain on patent settlement - - - (20.2)

6) PVT milestone - 10.0 - 10.0

7) Discontinued products - 6.8 - 6.8

8) Restructure 3F Therapeutics

agreements - - - 2.0

9) Litigation reserve - - - 1.2

Total special charges (gains), net 25.8 18.0 23.3 (4.5)

Provision (benefit) for income taxes

Tax effect on non-GAAP adjustments

(A) (7.9) (3.8) (6.9) 6.6

Tax audit settlements - (3.2) - (3.2)

Tax benefit from reversal of

valuation allowance - - - (3.7)

Total benefit for income taxes, net (7.9) (7.0) (6.9) (0.3)

Non-GAAP net income $33.7 $33.7 $129.4 $127.7

Non-GAAP earnings per share:

Basic non-GAAP earnings per share $0.59 $0.58 $2.26 $2.18

Diluted non-GAAP earnings per share

(B) $0.56 $0.55 $2.13 $2.06

Non-GAAP weighted average shares

outstanding:

Basic 56.7 57.7 57.3 58.5

Diluted 62.0 63.2 62.7 63.9

GAAP Gross profit margin 66.0% 63.3% 65.3% 64.0%

Effect of Discontinued product - 0.8% - 0.2%

Non-GAAP Gross profit margin 66.0% 64.1% 65.3% 64.2%

Notes 1 -- 9: See description of Special
'/>"/>