Analyst & Investor Day 20161

AGILENT TECHNOLOGIES

INSTITUTIONAL INVESTOR MEETINGS

Q1 2020

Safe Harbor

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This presentation contains forward-looking statements (including, without limitation, information and future guidance on the company’s goals, priorities, revenue, revenue growth, earnings per share, operating margin, operating cash flow, capital expenditures, capital allocation, growth opportunities, new products and solutions, customer service and innovation plans, financial condition and considerations, share repurchases, dividends, the markets the company sells into, operations, manufacturing site plans and tax rates) that involve risks and uncertainties that could cause results of Agilent to differ materially from management’s current expectations. The words “anticipate,” “plan,” “estimate,” “expect,” “intend,” “will,” “should,” “forecast,” “project” and similar expressions, as they relate to the company, are intended to identify forward-looking statements.

In addition, other risks that the company faces in running its operations include the ability to execute successfully through business cycles; the ability to successfully adapt its cost structures to continuing changes in business conditions; ongoing competitive, pricing and gross margin pressures; the risk that our strategic and cost-cutting initiatives will impair our ability to develop products and remain competitive and to operate effectively; the impact of geopolitical uncertainties on our markets and our ability to conduct business; the impact of currency exchange rates on our financial results; the ability to improve asset performance to adapt to changes in demand; the ability to successfully introduce new products at the right time, price and mix, and other risks detailed in the company's filings with the Securities and Exchange Commission, including our quarterly report on Form 10-Q for the quarter ended July 31, 2019.

The company assumes no obligation to update the information in these presentations. These presentations and the Q&A that follows include non-GAAP measures. Non-GAAP measures exclude primarily the impacts of amortization of intangibles, acquisition and integration costs, transformational initiatives, and business exits and divestitures. We also exclude any tax benefits that are not directly related to ongoing operations and which are either isolated or are not expected to occur again with any regularity or predictability, including the impact of the 2017 Tax Act. With respect to the company’s guidance, most of these excluded amounts pertain to events that have not yet occurred and are not currently possible to estimate with a reasonable degree of accuracy. Accordingly, no reconciliation to GAAP amounts has been provided.

Agilent TechnologiesPremium Portfolio, Global Scale, Positioned for Growth

2

36%

28%36%

Diagnostics& Clinical

Analytical Labs 85%

15%

Instruments

Services, Consumables & Informatics(4)

42%

58%

Geographic Revenue Mix (2) Market domain (2) Revenue type (2)

(1) TAM = Total Available Market. Market size per Company estimates; (2) FY19 Revenue, (3) FY19 Operating Margin presented on a non-GAAP basis, reconciliations to closest GAAP equivalent provided. (4) Includes Services, Consumables, Informatics, Diagnostic and Genomics Products

FY19 financialresults

Leadership in steadily growing end-markets

Attractive recurring revenue base

$52B 265,000 $5.2B(1)

Most of the world’s

23.3%labs using Agilent solutionsTAM in 6 end markets Revenue Operating Margin

(3)

Americas

Europe

Asia

Agilent CrossLab

(ACG)

Life Sciences & Applied Markets

(LSAG)

Diagnostics & Genomics

(DGG)

• Chromatography• Mass Spectrometry• Spectroscopy• Informatics• Cell Analysis

Lab Enterprise Management solutions for the Analytical and

Clinical Lab

Solutions and tools for Clinical and Clinical Research Laboratories

$2.3B24%

$1.8B26%

$1.0B18%

Agilent Businesses

3

(1) (1) (1)

(2) (2) (2)

• Services• Consumables

Instrumentation and software solutions for

Analytical Laboratories

• Pathology• Genomics Products• Nucleic Acid

Solutions

(1) FY19 Revenue, (2) FY19 Operating Margin

4

Agilent TransformationMeasures of Success

Outgrow the marketAverage core revenue growth rate >6% over past 5 years

Expand operating margins>540 bps margin expansion 2015-2019

Balanced approach to capital allocation$6.1B in capital deployed 2015-2019:

$2.9B returned to shareholders$3.2B invested in business

Outgrow the Market

Expand operating margins

Balancedcapital

allocation

Agilent TransformationGrowing Revenue Mix beyond “the Box”

InstrumentsNon-

instrument

57%43% 46%

54%

42%

58%

InstrumentsNon-

instrumentInstrumentsNon-

instrument2008 2014 2019

Higher Growth, Less Cyclical Revenue

(1) In all years, revenue mix reflects “revenue type” attribution consistent with 2019 10-K disclosure method. 2008 and 2014 restated to reflect current Agilent business only(2) “Non-instruments” includes Services, Consumables, Informatics, Diagnostic and Genomics Products.

5

6

Key FY19 ResultsRevenue Growth, Margin Expansion, Balanced Capital Allocation

(1) Core revenue growth excludes impact of changes in currency translation and M&A (2) Presented on a non-GAAP basis. reconciliations to closest GAAP equivalent provided

• Revenue Growth: 5.0%(1) on core basis• Expanded Operating Margin: up 80 bps to 23.3%(2)

• Adjusted EPS(2) of $3.11, up 11%• Capital Deployment:

• Cash Dividends: $206M• Share Repurchases: $723M• M&A and CapEx Investments: $1.56B

• Operating Cash Flow of $1.02B

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FY20 GuidanceAs of November 25, 2019 based on October 31, 2019 exchange rates

(1) Core revenue growth excludes impact of changes in currency translation and M&A.(2) Presented on non-GAAP basis.(3) Per 10b5-1, 2.7M shares via systematic daily purchases with the remainder on formulaic / opportunistic purchases.

• Revenue: $5.50B to $5.55B: core growth 4% to 5%(1)

• EPS(2): $3.38 to $3.43• Operating Cash Flow of $775M-800M, net of one-time tax

outflow; CapEx of $180M• Returns to Shareholders

• $225M in dividends• Anti-dilutive share repurchases at a minimum.

Remaining authorization to repurchase $1.03B of shares(3)

LT market growth

Marketposition

Chemical & Energy

Environment& Forensics

Food

Pharma

Academia & Government

Clinical & Diagnostics

2-4%

2-4%

3-5%

4-6%

3-5%

5-7%

#1

#2

#2

#2-3

End-markets(2)

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Strong Positions across all end-markets

(1) % of FY19 Agilent Revenue (2) TAM= Served Available Market. Market size, growth and position per Company estimates

#2

$4B

$5B

$5B

$16B

$11B

$11B

TAM

23%

12%

10%

31%

9%

15%

% of Revenue(1)

100% $52B 3-5%

Innovation with Purpose Driving Growth in the Analytical LabMeeting the critical scientific and economic needs of the lab

Robust, easy to use instrumentation. Integrated work-flow solutions.

Software &Informatics

OpenLAB

Gas Chromatography

9000 Intuvo GC

Mass SpecUltivo LC/MS QQQ

Infinity Lab LC solutions

LiquidChromatography

Cell AnalysisSeahorse

Spectroscopy8900 ICP-QQQ/MS

ConsumablesMarket Specific Workflows, Rapidly Expanding Portfolio

Enterprise Solutions & Services Asset management tools, expanding

services portfolio, extending customer reach with digital platforms

9

Cell Analysis Poised for InnovationImmunotherapy, biologics research, and drugdevelopment driving demand for integration and simplification of live-cell real-time analysis techniques.

An M&A Growth StrategyAgilent’s focus in cell analysis began with the purchase of Seahorse Bioscience in 2015 and was followed by the acquisitions of Luxcel Biosciences and ACEA Biosciences in 2018. .

BioTek AcquisitionMarket DynamicsAttractive MarketA multi-billion dollar market growing mid to high single digit rates, driven by biopharma expansion

Cell Analysis

Agilent purchased BioTek Instruments for $1.165B in August 2019. The acquisition more than doubles the scale of Agilent’s position in the cell analysis market

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Investments in Fast Growing BioPharma Market

Agilent’s Cell Analysis business now more than $250M revenue annually – up from zero four years ago –

and growing double digits today

Seahorse XFNovoCyte xCELLigence

Cytation 5 SynergyNeo2

Complementary to Agilent’s existing capabilities, the combined companies will lead live-cell analysis – with an opportunity to innovate, integrate and simplify real-time live-cell analysis workflows

10

Oligo therapeutics utility expansionBioPharma customers are targeting more disease areas with nucleic acid based therapeutic approaches, from orphan diseases to cancer.

Rapid growth in programs54% increase in therapeutic programs from 2015 –2017.

Nucleic acid therapeutics approvals increasingFDA saw more submissions in 2018 than in past decade combined.

Frederick, Colorado SiteMarket Dynamics

Market structureThere are very few GMP-grade competitors in the market today. Agilent, second in market share, has been capacity constrained in 2019.

Nucleic acid-based therapeutics

A $185M capital investment which became operational in H2’19, adding a second site and doubling the capacity of Agilent’s existing oligo manufacturing businessFurther expandable capacity

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A $100M revenue run-rate business today, with Frederick doubling capacity and ramping in 2020.

Investments in Fast Growing BioPharma Market

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5% of DGG

28% ofLSAG

17% of ACG

…but opportunity varies

significantly by group.

China 20%of Agilent’s

revenue today…

Building on Strength• Expanding footprint and e-commerce

capabilities

• Leverage large instrument installed base for aftermarket growth

• Build Clinical and Diagnostics Franchise

• Country Specific Solutions and Portfolio

• Strong team: 2,000+ employees in China

Geographic PenetrationExtending Market Leadership

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$2.4B deployed since 2015, aligned with our growth strategies

Software & Informatics

Cell Analysis

Clinical NGS Workflow

Differentiated Consumables

High growth complementary

platforms

One Agilent Integration

“The Power of One Agilent ”Leads to increased growth,

lower costs

• One Company• One Culture • One ERP• One set of shared services• One Customer Interface

Markets We Know, High Growth Business,Differentiated Teams

Growth through M&AComplements our Organic Growth

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Agilent Technologies: A Leader in Corporate Citizenship

Industry leader for Life Sciences, Tools and Services – 2019 Dow Jones Sustainability Rankings by RobecoSAM, 5th year in a row

In 2019, ranked No.3 in Barron’s 100 Most Sustainable Companies, 3rd year in a row

2019 Best Corporate Citizens by Corporate Responsibility Magazine

2019 Forbes Best Employer for Diversity

ESG rating of AAA (top 3%) by MSCI, 4th year in a rowRead our latest Corporate Social

Responsibility Report at Agilent.com

LSAG Lead The Analytical Lab

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Why Customers Choose Agilent

Lab manager:Ensure 100% uptime with round-the-clock operations

Research Scientist:Solution that best supports research needs

Procurement:Lowest cost-of-ownership, highest quality

Divisions‒ Mass Spectrometry‒ Gas Phase‒ Liquid Phase‒ Spectroscopy & Vacuum‒ Software & Informatics

Global sales force

Serving end-markets

LSAG Leads the Analytical Labs Through One Global Go-to-Market Model

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51

5

Key growth initiatives

Accelerate Mass spec and multi-omics with tailored HW and SW solutionsApplied and clinical research market penetration

Expand Pharmaand A&G

Grow share in LC & LC-MS

New solutions for large molecule analysis

Introduce unified chromatography informatics solutions

Leverage Seahorse solutions and expand cell analysis footprint

OpenLAB

LSAG Key Market and Platform InitiativesFoundation for Future Growth

17

ACGWin in Lab Productivity

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Improving the science and economics of the laboratory

ACG Strategic Direction

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Distinct position in the market with CrossLab brand promise

Complete solutions

Differentiated customer experience

Higher business value services

20

ACG InitiativesLeveraging strong presence in the lab

Evolve enterprise solutions to deliver greater outcomesWin withCrossLab

Expand portfolio breadth through innovation

Differentiated customer experience

Leverage OpenLAB

Leverage informatics to expand enterprise solutions offerings

Capitalize on geographic opportunities

Key growth initiatives

DGG Advance Clinical Diagnostics

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Clinical markets increasingly require fully integrated solutions, creating a significant opportunity for Agilent

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Highest quality & patient safety Meeting customer needs Optimizing healthcare spending

...and enabling precision medicineBy providing complete workflowsThrough regulatory compliance

Agilent is among the very few with the global commercial reach, technology leadership and ability to successfully drive products through the clinical continuum needed to capture the opportunity

Fight cancer

DGG’s four strategic opportunities each utilize Agilent's core strengths in selected domains

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Enable new discoveries

Improve the quality of life

Partner for novel therapeutics & diagnostics

Appendix and Financial Reconciliations

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LSAG DGG

Chemical & Energy

Environment& Forensics

Food

Pharma

Academia & Government

Clinical & Diagnostics

29%

16%

12%

31%

10%

2%

2%

<1%

<1%

22%

9%

65%

End-markets

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Relation of Agilent Segments to End-Markets

(1) % FY19 Agilent Revenue

28%

13%

12%

36%

7%

4%

ACG

23%

12%

10%

31%

9%

15%

% ofAgilent

Revenue(1)

100% 100% 100% 100%

OperatingFY 2019 Margin %

Revenue:Life Sciences and Applied Markets Group (LSAG) 2,302$ Agilent Crosslab Group (ACG) 1,840 Total LSAG and ACG revenue 4,142 Diagnostics and Genomics Group (DGG) 1,021 Agilent GAAP Revenue $ 5,163

Income from operations:GAAP Income from operations 941$ 18.2%Add:

Intangible amortization 125 Transformational initatives 44 Acquisition and integration costs 48 NASD site costs 12 Special compliance costs 2 Other 30

Non-GAAP income from operations 1,202$ 23.3%

Breakdown of reportable segment income from operations:Life Sciences and Applied Markets Group (LSAG) 542$ 23.5%Agilent Crosslab Group (ACG) 475 25.8% Total LSAG and ACG income from operations 1,017 24.6%Diagnostics and Genomics Group 185 18.2%Agilent Non-GAAP income from operations 1,202$ 23.3%

AGILENT TECHNOLOGIES, INC.RECONCILIATION OF NON-GAAP INCOME FROM OPERATIONS AND INCOME FROM OPERATIONS TO REPORTABLE

SEGMENTS AND OPERATING MARGINS(In millions, except margin data)

(Unaudited)

We provide non-GAAP income from operations in order to provide meaningful supplemental information regarding our operational performance and our prospects for the future. These supplemental measures exclude, among other things, charges related to amortization of intangibles, transformational initiatives, acquisition and integration costs, NASD site costs, and special compliance costs.

Our management recognizes that items such as amortization of intangibles can have a material impact on our cash flows and/or our net income. Our GAAP financial statements including our statement of cash flows portray those effects. Although we believe it is useful for investors to see core performance free of special items, investors should understand that the excluded items are actual expenses that may impact the cash available to us for other uses. To gain a complete picture of all effects on the company’s profit and loss from any and all events, management does (and investors should) rely upon the GAAP income statement. The non-GAAP numbers focus instead upon the core business of the company, which is only a subset, albeit a critical one, of the company’s performance.

Readers are reminded that non-GAAP numbers are merely a supplement to, and not a replacement for, GAAP financial measures. They should be read in conjunction with the GAAP financial measures. It should be noted as well that our non-GAAP information may be different from the non-GAAP information provided by other companies.

Year Over YearOperating Operating Percent Pts

FY 2019 Margin % FY 2018 Margin % Inc/(Dec)

Agilent GAAP Revenue $ 5,163 $ 4,914

Income from operations:GAAP Income from operations 941$ 18.2% 904$ 18.4%Add:

Asset impairments — 21$ Intangible amortization 125 105 Business exit and divestiture costs — 9 Transformational initiatives 44 25 Acquisition and integration costs 48 23 NASD site costs 12 8 Special compliance costs 2 4 Other 30 5

Non-GAAP income from operations $ 1,202 23.3% $ 1,104 22.5% 0.8%

AGILENT TECHNOLOGIES, INC.RECONCILIATION OF NON-GAAP INCOME FROM OPERATIONS AND OPERATING MARGINS

(In millions, except margin data)(Unaudited)

We provide non-GAAP income from operations and non-GAAP operating margins amounts in order to provide meaningful supplemental information regarding our operational performance and our prospects for the future. These supplemental measures exclude, among other things, charges related to asset impairments, amortization of intangibles, business exit and divestiture costs, transformational initiatives, acquisition and integration costs, NASD site costs, and special compliance costs.

Our management recognizes that items such as amortization of intangibles can have a material impact on our cash flows and/or our net income. Our GAAP financial statements including our statement of cash flows portray those effects. Although we believe it is useful for investors to see core performance free of special items, investors should understand that the excluded items are actual expenses that may impact the cash available to us for other uses. To gain a complete picture of all effects on the company’s profit and loss from any and all events, management does (and investors should) rely upon the GAAP income statement. The non-GAAP numbers focus instead upon the core business of the company, which is only a subset, albeit a critical one, of the company’s performance.

Readers are reminded that non-GAAP numbers are merely a supplement to, and not a replacement for, GAAP financial measures. They should be read in conjunction with the GAAP financial measures. It should be noted as well that our non-GAAP information may be different from the non-GAAP information provided by other companies.

Year Over YearOperating Operating Percent Pts

FY 2019 Margin % FY 2014 (a) Margin % Inc/(Dec)

Agilent GAAP Revenue $ 5,163 $ 4,048

Income from operations:GAAP Income from operations 941$ 18.2% 419$ 10.4%Add:

Asset impairments — 4$ Intangible amortization 125 189 Business exit and divestiture costs — 68 Transformational initiatives 44 29 Acquisition and integration costs 48 11 NASD site costs 12 — Special compliance costs 2 — Restructuring and other related costs related to workforce reduction — (2)$ Acceleration of share-based compensation expense — 1$ Pre-separation costs — 14$ Unallocated corporate costs — 40$ Other 30 (10)

Non-GAAP income from operations $ 1,202 23.3% $ 763 18.8%Keysight spin-off cost dis-synergies — (40)

Adjusted non-GAAP income from operations 1,202$ 23.3% 723$ 17.9% 5.4%

We provide non-GAAP income from operations and non-GAAP operating margins amounts in order to provide meaningful supplemental information regarding our operational performance and our prospects for the future. These supplemental measures exclude, among other things, charges related to asset impairments, amortization of intangibles, business exit and divestiture costs, transformational initiatives, acquisition and integration costs, NASD site costs, special compliance costs, restructuring and other related costs, acceleration of share-based compensation expense related to workforce reduction, pre-separation costs, and unallocated corporate costs.

Our management recognizes that items such as amortization of intangibles can have a material impact on our cash flows and/or our net income. Our GAAP financial statements including our statement of cash flows portray those effects. Although we believe it is useful for investors to see core performance free of special items, investors should understand that the excluded items are actual expenses that may impact the cash available to us for other uses. To gain a complete picture of all effects on the company’s profit and loss from any and all events, management does (and investors should) rely upon the GAAP income statement. The non-GAAP numbers focus instead upon the core business of the company, which is only a subset, albeit a critical one, of the company’s performance.

Readers are reminded that non-GAAP numbers are merely a supplement to, and not a replacement for, GAAP financial measures. They should be read in conjunction with the GAAP financial measures. It should be noted as well that our non-GAAP information may be different from the non-GAAP information provided by other companies.

(a) Not adjusted to include the impact of the adoption of ASU 2017-07 (pension expense reclassification).

AGILENT TECHNOLOGIES, INC.RECONCILIATION OF NON-GAAP INCOME FROM OPERATIONS AND OPERATING MARGINS

(In millions, except margin data)(Unaudited)

Year-over-YearGAAP Revenue by Segment FY 2019 FY 2018 % Change

Life Sciences and Applied Markets Group 2,302$ 2,270$ 1%

Diagnostics and Genomics Group 1,021 943 8%

Agilent CrossLab Group 1,840 1,701 8%

Agilent 5,163$ 4,914$ 5%

Year-over-Year Year-over-Year

Non GAAP Revenue by SegmentFY 2019 FY 2018 % Change % Change

Life Sciences and Applied Markets Group 2,219$ 2,270$ (2%) (1%) -1 ppt (37)$

Diagnostics and Genomics Group 1,009 943 7% 9% -2 ppts (20)

Agilent CrossLab Group 1,820 1,701 7% 10% -3 ppts (50)

Agilent (Core) 5,048$ 4,914$ 3% 5% -2 ppts (107)$

AGILENT TECHNOLOGIES, INC.RECONCILIATIONS OF REVENUE BY SEGMENT EXCLUDING

ACQUISITIONS, DIVESTITURES AND THE IMPACT OF CURRENCY ADJUSTMENTS (CORE)(in millions)(Unaudited)

Year-over-Year

GAAP

Non-GAAP (excluding Acquisitions & Divestitures)

Year-over-Year

at Constant Currency (a)

Percentage Point Impact from

Currency

Current Year

Currency Impact (b)

We compare the year-over-year change in revenue excluding the effect of recent acquisitions and divestitures and foreign currency rate fluctuations to assess the performance of our underlying business.

(a) The constant currency year-over-year growth percentage is calculated by recalculating all periods in the comparison period at the foreign currency exchange rates used for accounting during the last month of the current quarter, and then using those revised values to calculate the year-over-year percentage change.

(b) The dollar impact from the current quarter currency impact is equal to the total year-over-year dollar change less the constant currency year-over-year change.

FY 2019Diluted EPS

FY 2018Diluted EPS

GAAP net income 1,071$ 3.37$ 316$ 0.97$ Non-GAAP adjustments:

Asset impairments — — 21 0.06 Intangible amortization 125 0.39 105 0.32 Business exit and divestiture costs — — 9 0.03 Transformational initiatives 44 0.14 25 0.08 Acquisition and integration costs 48 0.15 23 0.07 Loss on extinguishment of debt 9 0.03 — —Pension settlement gain — — (5) (0.02) Gain on step acquisition of Lasergen — — (20) (0.06) NASD site costs 12 0.04 8 0.02 Special compliance costs 2 0.01 4 0.01 Other 29 0.09 (10) (0.03) Adjustment for Tax Reform — — 552 1.70 Tax benefit on intra-entity asset transfer (299) (0.94) — —Adjustment for taxes (a) (52) (0.17) (121) (0.36)

Non-GAAP net income 989$ 3.11$ 907$ 2.79$

Years Ended

Loss on extinguishment of debt relates to the net loss recorded on full redemption of $500 million of outstanding 5.00% senior notes due July 2020, called on August 16, 2019 and settled on September 17, 2019.

Tax benefit on intra-entity asset transfer relates to our operations in Singapore along with our application of the new accounting rules for income tax consequences of intra-entity transfer of assets as adopted on November 1, 2018.

AGILENT TECHNOLOGIES, INC.NON-GAAP NET INCOME AND DILUTED EPS RECONCILIATIONS

(In millions, except per share amounts)(Unaudited)

Pension settlement gain resulted from transfer of the substitutional portion of our Japanese pension plan to the government.

October 31,

(a) The adjustment for taxes excludes tax benefits that management believes are not directly related to on-going operations and which are either isolated or cannot be expected to occur again with any regularity or predictability. For the years ended October 31, 2019 and 2018, management used a non-GAAP effective tax rate of 16.75% and 18%, respectively.

We provide non-GAAP net income and non-GAAP net income per share amounts in order to provide meaningful supplemental information regarding our operational performance and our prospects for the future. These supplemental measures exclude, among other things, charges related to asset impairments, amortization of intangibles, business exit and divestiture costs, transformational initiatives, acquisition and integration costs, loss on extinguishment of debt, pension settlement gain, gain on step acquisition of Lasergen, NASD site costs, special compliance costs, adjustment for Tax Reform, and tax benefit on intra-entity asset transfer.

Asset impairments include assets that have been written down to their fair value.

Business exit and divestiture costs include costs associated with business divestitures.

Transformational initiatives include expenses associated with targeted cost reduction activities such as manufacturing transfers including costs to move manufacturing due to new tariffs and tariff remediation actions, small site consolidations, legal entity and other business reorganizations, insourcing or outsourcing of activities. Such costs may include move and relocation costs, one-time termination benefits and other one-time reorganization costs. Included in this category are also expenses associated with company programs to transform our product lifecycle management (PLM) system, human resources and financial systems.

Acquisition and Integration costs include all incremental expenses incurred to effect a business combination. Such acquisition costs may include advisory, legal, accounting, valuation, and other professional or consulting fees. Such integration costs may include expenses directly related to integration of business and facility operations, the transfer of assets and intellectual property, information technology systems and infrastructure and other employee-related costs.

Our management recognizes that items such as amortization of intangibles can have a material impact on our cash flows and/or our net income. Our GAAP financial statements including our statement of cash flows portray those effects. Although we believe it is useful for investors to see core performance free of special items, investors should understand that the excluded items are actual expenses that may impact the cash available to us for other uses. To gain a complete picture of all effects on the company’s profit and loss from any and all events, management does (and investors should) rely upon the GAAP income statement. The non-GAAP numbers focus instead upon the core business of the company, which is only a subset, albeit a critical one, of the company’s performance.

Readers are reminded that non-GAAP numbers are merely a supplement to, and not a replacement for, GAAP financial measures. They should be read in conjunction with the GAAP financial measures. It should be noted as well that our non-GAAP information may be different from the non-GAAP information provided by other companies.

Gain on step acquisition of Lasergen resulted from the measurement at fair value of our equity interest held at the date of business combination.

NASD site costs include all the costs related to the expansion of our manufacturing of nucleic acid active pharmaceutical ingredients incurred prior to the commencement of commercial manufacturing.

Special compliance costs include costs associated with transforming our processes to implement new regulations such as the EU's General Data Protection Regulation (GDPR), revenue recognition, lease and certain tax reporting requirements.

Other includes certain legal costs and settlements in addition to other miscellaneous adjustments.

Adjustment for Tax Reform primarily consists of an estimated provision of $499 million for U.S. transition tax and correlative items on deemed repatriated earnings of non-U.S. subsidiaries and an estimated provision of $53 million associated with the decrease in the U.S. corporate tax rate from 35% to 21% and its impact on our U.S. deferred tax assets and liabilities.

Our management uses non-GAAP measures to evaluate the performance of our core businesses, to estimate future core performance and to compensate employees. Since management finds this measure to be useful, we believe that our investors benefit from seeing our results “through the eyes” of management in addition to seeing our GAAP results. This information facilitates our management’s internal comparisons to our historical operating results as well as to the operating results of our competitors.