CSL Ltd. — Interim / Quarterly Report 2012

Oct 22, 2012

For immediate release 23 October 2012

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CSL Historical Financial Performance in US Dollars

In February 2012, the company announced its decision to move to US dollar reporting commencing with the 2012/13 financial year. US dollars are the pharmaceutical industry standard currency for reporting purposes. The move also reflects the increasing predominance of the Company’s worldwide sales and operations in US dollars.

To assist investors during the transition the Company is today lodging with the Australian Securities Exchange sets of financial statements for the first half and full year financial 2012, restated in US dollars. A 5 year financial summary in US dollars is also provided.

The financial statements have been prepared using Accounting Policies consistent with those applied in the preparation of CSL Limited’s audited consolidated financial statements for these periods. These accounting policies can be found in Note 1 of the CSL Limited Financial Report contained in the CSL Annual Report for the relevant period and available from the company’s website www.csl.com.au. The attached financial statements are unaudited but have been subject to Agreed Upon Procedures carried out by Ernst & Young. We expect these to form the prior comparable period disclosures in the CSL Group Financial Statements for the half year ended 31 December 2012 (to be reviewed by Ernst & Young) and full year ended 30 June 2013 (to be audited by Ernst & Young).

The five year financial summary has been prepared by translating the Group’s financial statements using exchange rates and accounting policies applicable to the relevant period.

For further information, please contact:

Mark Dehring Head of Investor Relations CSL Limited Telephone: +613 9389 2818 Email: mark.dehring@csl.com.au

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CSL Group

Five year summary presented in US Dollars

Consolidated Income Statement For the year ended 30 June US$ Millions Continuing operations Sales revenue Cost of sales Gross Profit Other revenues Research and development expenses Selling and marketing expenses General and administration expenses Finance costs Profit before income tax expense Income tax expense Profit attributable to members of the parent company Segment information For the year ended 30 June US$ Millions Sales ‐ CSL Behring ‐ Other Human Health ‐ IP Licensing ‐ Intersegment Elimination Total sales Total Segment Revenue ‐ CSL Behring ‐ Other Human Health ‐ IP Licensing ‐ Unallocated / Intersegment Elimination Total Consolidated Revenue EBIT ‐ CSL Behring ‐ Other Human Health ‐ IP Licensing ‐ Unallocated Total Consolidated EBIT EBITDA ‐ CSL Behring ‐ Other Human Health ‐ IP Licensing ‐ Unallocated Total Consolidated EBITDA	Consolidated Income Statement For the year ended 30 June US$ Millions Continuing operations Sales revenue Cost of sales Gross Profit Other revenues Research and development expenses Selling and marketing expenses General and administration expenses Finance costs Profit before income tax expense Income tax expense Profit attributable to members of the parent company Segment information For the year ended 30 June US$ Millions Sales ‐ CSL Behring ‐ Other Human Health ‐ IP Licensing ‐ Intersegment Elimination Total sales Total Segment Revenue ‐ CSL Behring ‐ Other Human Health ‐ IP Licensing ‐ Unallocated / Intersegment Elimination Total Consolidated Revenue EBIT ‐ CSL Behring ‐ Other Human Health ‐ IP Licensing ‐ Unallocated Total Consolidated EBIT EBITDA ‐ CSL Behring ‐ Other Human Health ‐ IP Licensing ‐ Unallocated Total Consolidated EBITDA	Jun Jun Jun Jun Jun 2008 2009 2010 2011 2012 12 Months 12 Months 12 Months 12 Months 12 Months	Dec 2011 6 Months
	Continuing operations Sales revenue Cost of sales	3,179 3,412 3,909 4,097 4,616 (1,724) (1,784) (1,918) (2,083) (2,390)	2,324 (1,253)
	Gross Profit Other revenues Research and development expenses Selling and marketing expenses General and administration expenses Finance costs	1,455 1,628 1,991 2,014 2,227 220 319 149 131 197 (203) (226) (278) (323) (370) (355) (359) (429) (434) (506) (225) (306) (209) (207) (238) (45) (46) (16) (14) (41)	1,071 105 (168) (232) (129) (15)
		848 1,010 1,207 1,167 1,270 (221) (164) (286) (249) (246)	634 (130)
		627 845 921 918 1,024	504
	For the year ended 30 June US$ Millions	Jun Jun Jun Jun Jun 2008 2009 2010 2011 2012 12 Months 12 Months 12 Months 12 Months 12 Months	Dec 2011 6 Months
	Sales ‐ CSL Behring ‐ Other Human Health ‐ IP Licensing ‐ Intersegment Elimination Total sales Total Segment Revenue ‐ CSL Behring ‐ Other Human Health ‐ IP Licensing ‐ Unallocated / Intersegment Elimination Total Consolidated Revenue EBIT ‐ CSL Behring ‐ Other Human Health ‐ IP Licensing ‐ Unallocated Total Consolidated EBIT EBITDA ‐ CSL Behring ‐ Other Human Health ‐ IP Licensing ‐ Unallocated	2,578 2,862 3,181 3,494 3,909 656 636 840 721 853 (54) (86) (112) (117) (145)	1,950 441 (67)
		3,179 3,412 3,909 4,097 4,616 2,590 2,876 3,188 3,499 3,913 670 643 857 726 862 170 142 92 93 142 (32) 71 (80) (90) (104)	2,324 1,953 446 82 (51)
		3 399 3 732 4 057 4 228 4 814 , , , , , 715 887 990 1,136 1,231 174 9 141 (23) (38) 104 84 80 126 (28) 9 (26) (39) (51)	2 429 , 583 (5) 73 (17)
		861 1,008 1,188 1,154 1,268 978 1,089 1,253 1,359 51 177 25 7 104 84 80 126 10 (24) (34) (45)	634 647 15 73 (15)
	Total Consolidated EBITDA	987 1,143 1,326 1,324 1,446	720

CSL Group

Five year summary presented in US Dollars

As at 30 June Selected items US$ Millions Cash & cash equivalents Trade and other receivables Inventories Other Current Assets Total Current Assets Trade and other receivables Property Plant & Equipment Intangible assets Other Non‐Current Assets Total Non‐Current Assets Total Assets Trade and other payables Interest‐bearing liabilities and borrowings Other Current Liabilities Total Current Liabilities Trade and other payables Interest‐bearing liabilities and borrowings Other Non‐Current Liabilities Total Non‐Current Liabilities Total Liabilities Retained Earnings Total Equity For the year ended 30 June US$ Millions Consolidated Balance Sheet Miscellaneous Metrics Basic EPS (cents) Cash Flow from Operations Dividends (US cents per share) Payments for Property Plant & Equipment Payments for Intangible Assets Net Interest Expense / (Income) Depreciation/Amortisation Behring Product Sales Immunoglobulins Specialty Products Albumin pdCoag Helixate® Total Product Sales	As at 30 June Selected items US$ Millions Cash & cash equivalents Trade and other receivables Inventories Other Current Assets Total Current Assets Trade and other receivables Property Plant & Equipment Intangible assets Other Non‐Current Assets Total Non‐Current Assets Total Assets Trade and other payables Interest‐bearing liabilities and borrowings Other Current Liabilities Total Current Liabilities Trade and other payables Interest‐bearing liabilities and borrowings Other Non‐Current Liabilities Total Non‐Current Liabilities Total Liabilities Retained Earnings Total Equity For the year ended 30 June US$ Millions Consolidated Balance Sheet Miscellaneous Metrics Basic EPS (cents) Cash Flow from Operations Dividends (US cents per share) Payments for Property Plant & Equipment Payments for Intangible Assets Net Interest Expense / (Income) Depreciation/Amortisation Behring Product Sales Immunoglobulins Specialty Products Albumin pdCoag Helixate® Total Product Sales	Jun Jun Jun Jun Jun 2008 2009 2010 2011 2012
		675 2,051 853 515 1,171 682 719 752 869 784 1,153 1,235 1,239 1,565 1,483 1 11 0 19 7
		2,511 4,015 2,845 2,968 3,445 8 8 6 5 10 939 972 1,029 1,297 1,381 876 791 814 983 865 183 191 171 192 200
		2,005 1,962 2,021 2,478 2,456
		4,517 5,977 4,865 5,447 5,901 423 539 413 530 536 123 270 22 243 170 258 186 235 243 245
		804 994 670 1,017 950 ‐ ‐ ‐ 4 15 794 313 372 204 1,120 219 238 232 305 339
		1,013 550 604 513 1,474
		1,817 1,545 1,274 1,530 2,425 1,548 2,145 2,688 3,162 3,713 2,699 4,432 3,591 3,917 3,477
	For the year ended 30 June US$ Millions	Jun Jun Jun Jun Jun 2008 2009 2010 2011 2012 12 Months 12 Months 12 Months 12 Months 12 Months	Dec 2011 6 Months
	Basic EPS (cents) Cash Flow from Operations Dividends (US cents per share) Payments for Property Plant & Equipment Payments for Intangible Assets Net Interest Expense / (Income) Depreciation/Amortisation	113.90 142.02 162.55 169.81 197.20 620 759 1,029 1,005 1,206 41.07 51.64 70.00 78.07 86.49 197 195 215 197 309 0 0 0 14 14 13 (1) (19) (13) (2) 127 135 137 170 178	95.30 539 37.57 148 5 (0) 86
	Behring Product Sales Immunoglobulins Specialty Products Albumin pdCoag Helixate® Total Product Sales	871 1,063 1,197 1,494 1,722 354 414 475 520 618 229 267 279 286 314 525 517 544 527 557 407 434 489 486 502
		2,386 2,695 2,984 3,313 3,713

CSL Limited

ABN: 99 051 588 348

Abbreviated Interim Financial Statements presented in USD for the information of shareholders

for the half year ended 31 December 2011

These financial statements have been prepared using the same accounting policies as applied to the CSL Limited half year financial statements for the period ended 31 December 2011 issued on 22 February 2012 and available on the Company’s website www.csl.com.au,

with the exception of the following:

The half year financial statements were presented in A$000 while this report adopts a Presentation Currency of US Dollars and is presented in US$m.

CSL Limited Consolidated Statement of Comprehensive Income in USD For the half-year ended 31 December 2011

		Consolidated Entity
		December
		2011
	Notes	**US$m **
Sales revenue		2,324.0
Cost of sales		(1,252.9)
Gross profit		1,071.1
Other revenue	2(a)	105.4
Research and development expenses		(167.4)
Selling and marketing expenses		(231.5)
General and administration expenses	2(c)	(128.8)
Finance costs	2(b)	(14.9)
Profit before income tax expense		633.9
Income tax expense	3	(129.6)
Net profit for the period		504.3
Other comprehensive income
Exchange differences on translation of foreign operations, net of hedges on net foreign investments	9	(319.0)
Actuarial gains/(losses) on defined benefit plans, net of tax		(33.7)
Mark to market adjustment on available-for-sale financial assets		(1.0)
Total of other comprehensive income/(expense)		(353.7)
Total comprehensive income for theperiod		150.6
Earnings per share(based on netprofit for theperiod)		Cents
Basic earnings per share	4	96.25
Diluted earnings per share	4	96.07

CSL Interim Financial Statements for the six months ended 31 December 2011 presented in USD for the information of shareholders

Page 1

CSL Limited Consolidated Balance Sheet in USD As at 31 December 2011

CSL Limited Consolidated Balance Sheet in USD As at 31 December 2011
		Consolidated Entity
		December	June
		2011	2011
	Notes	**US$m **	US$m
CURRENT ASSETS
Cash and cash equivalents	5	1,317.2	515.2
Trade and other receivables		842.4	869.0
Inventories		1,414.0	1,564.8
Other financial assets		4.3	19.3
Total Current Assets		3,577.9	2,968.3
NON-CURRENT ASSETS
Trade and other receivables		4.5	4.9
Other financial assets		-	2.4
Property, plant and equipment	6	1,279.5	1,297.5
Deferred tax assets		179.9	187.2
Intangible assets		882.0	983.4
Retirement benefit assets		-	2.8
Total Non-Current Assets		2,345.9	2,478.2
TOTAL ASSETS		5,923.8	5,446.5
CURRENT LIABILITIES
Trade and other payables		429.7	530.4
Interest-bearing liabilities		168.5	243.1
Current tax liabilities		121.6	141.5
Provisions		89.8	95.2
Deferred government grants		1.0	1.1
Derivative financial instruments		3.6	5.4
Total Current Liabilities		814.2	1,016.7
NON-CURRENT LIABILITIES
Trade and other payables		8.8	4.3
Interest bearing liabilities	7	1,127.3	204.3
Deferred tax liabilities		113.7	131.3
Provisions		27.5	30.6
Deferred government grants		19.9	20.3
Retirement benefit liabilities		147.8	122.4
Total Non-Current Liabilities		1,445.0	513.2
TOTAL LIABILITIES		2,259.2	1,529.9
NET ASSETS		3,664.6	3,916.6
EQUITY
Contributed equity	8	(406.0)	(228.0)
Reserves	9	668.5	982.1
Retained earnings		3,402.1	3,162.5
TOTAL EQUITY		3,664.6	3,916.6

CSL Interim Financial Statements for the six months ended 31 December 2011 presented in USD for the information of shareholders

Page 2

CSL Limited Consolidated Statement of Changes in Equity in USD For the half year ended 31 December 2011

		Ordinary	Foreign	Share	Available-	Retained	Total
		shares	currency	based	for-sale	earnings
			translation	payment	investment
			reserve	reserve	reserve
		US$m	US$m	US$m	US$m	US$m	US$m
At 1 July 2011		(228.0)	901.1	82.2	(1.2)	3,162.5	3,916.6
Profit for the period		-	-	-	-	504.3	504.3
Othercomprehensiveincome		-	(319.0)	-	(1.0)	(33.7)	(353.7)
Total comprehensive income for
the half year		-	(319.0)	-	(1.0)	470.6	150.6
Transactions with owners in
their capacity as owners
Share based payments	9	-	-	6.4	-	-	6.4
Dividends		-	-	-	-	(231.0)	(231.0)
Share buy back	8	(181.8)	-	-	-	-	(181.8)
Share issues
- Employee share scheme	8	3.8	-	-	-	-	3.8
Balance as at 31 December 2011		(406.0)	582.1	88.6	(2.2)	3,402.1	3,664.6

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CSL Interim Financial Statements for the six months ended 31 December 2011 presented in USD for the information of shareholders

Page 3

CSL Limited Consolidated Statement of Cash Flows in USD For the half-year ended 31 December 2011

For the half-year ended 31 December 2011
		Consolidated Entity
		December
		2011
	Notes	**US$m **
Cash flows from Operating Activities
Receipts from customers (inclusive of goods and services tax)		2,430.7
Payments to suppliers and employees (inclusive of goods and
services tax)		(1,747.8)
		682.9
Interest received		9.2
Income taxes paid		(140.9)
Borrowingcosts		(12.4)
Net cash inflow /(outflow)from operatingactivities		538.8
Cash flows from Investing Activities
Proceeds from sale of property, plant and equipment		0.4
Payments for property, plant and equipment		(147.6)
Payments for intangible assets		(5.4)
Receipts from other financial assets		0.8
Net cash inflow /(outflow)from investingactivities		(151.8)
Cash flows from Financing Activities
Proceeds from issue of shares		4.0
Payment for shares bought back		(181.8)
Dividends paid		(231.0)
Receipts (payments) on closure of foreign exchange hedges		0.6
Proceeds from borrowings	7	1,112.4
Repayment of borrowings	7	(242.2)
Net cash inflow /(outflow)from financingactivities		462.0
Net increase (decrease) in cash and cash equivalents		849.0
Cash and cash equivalents at the beginning of the period		514.6
Exchange rate variations on foreign cash and cash equivalent
balances		(46.4)
Cash and cash equivalents at the end of theperiod		1,317.2
Reconciliation of cash and cash equivalents
Cash and cash equivalents at the end of the period as shown in the
statement of cash flows is reconciled as follows:
Cash and cash equivalents	5	1,317.2
Bank overdrafts		-
		1,317.2

CSL Interim Financial Statements for the six months ended 31 December 2011 presented in USD for the information of shareholders

Page 4

CSL Limited Notes to the Financial Statements in USD For the half-year ended 31 December 2011

1 Segment Information

Reportable segments are:

• (a) CSL Behring – manufactures, markets and develops plasma products

• (b) Intellectual Property Licensing – revenue and associated expenses from the licensing of Intellectual Property generated by the Group to unrelated third parties

• (c) Other Human Health – comprises CSL Biotherapies, which manufactures and distributes biotherapeutic products, and Research & Development.

Research & Development expense is allocated in accordance with management’s expectation as to where a project’s value will be realised. Where this is uncertain the expense is allocated to Other Human Health.

		Intellectual	Other
		Property	Human	Intersegment	Consolidated
	CSL Behring	Licensing	Health	Elimination	Group
	December	December	December	December	December
	2011	2011	2011	2011	2011
	**US$m **	**US$m **	**US$m **	**US$m **	**US$m **
Sales to external customers	1,883.2	-	440.8	-	2,324.0
Inter-segment sales	66.9	-	-	(66.9)	-
Other revenue / Other income (excl interest
income)	2.6	82.4	4.9	-	89.9
Total segment revenue	1,952.7	82.4	445.7	(66.9)	2,413.9
Interest income					14.9
Unallocated revenue / income					0.6
Consolidated revenue					2,429.4
Segment EBIT	583.3	72.9	(5.1)	-	651.1
Unallocated revenue / income less
unallocated costs					(17.2)
Consolidated EBIT					633.9
Interest income					14.9
Finance costs					(14.9)
Consolidated profit before tax					633.9
Income tax expense					(129.6)
Consolidated netprofit after tax					504.3
Amortisation and impairment loss	14.8	-	-	-	14.8
Depreciation	48.9	-	20.1	-	69.0
Segment EBITDA	647.0	72.9	15.0	-	734.9
Unallocated revenue / income less
unallocated costs					(17.3)
Unallocated depreciation and amortisation					2.5
Consolidated EBITDA					720.1
Segment assets	4,180.0	20.2	1,015.9	(153.0)	5,063.1
Other unallocated assets					2,200.0
Elimination of amounts between operating
segments and unallocated					(1,339.3)
Total assets					5,923.8
Segment liabilities	1,814.2	3.6	776.9	(153.0)	2,441.7
Other unallocated liabilities					1,156.8
Elimination of amounts between operating
segments and unallocated					(1,339.3)
Total liabilities					2,259.2

CSL Interim Financial Statements for the six months ended 31 December 2011 presented in USD for the information of shareholders

Page 5

CSL Limited Notes to the Financial Statements in USD For the half-year ended 31 December 2011

1 Segment information (continued)

		United			Rest of
Geographic areas	Australia	States	Switzerland	Germany	world	Total
	US$m	US$m	US$m	US$m	US$m	US$m
December 2011
External sales revenue	286.3	899.0	76.6	356.9	705.2	2,324.0

2 Revenue, Income and Expenses from continuing operations

Consolidated Entity December 2011 US$m (a) Other Revenue Interest income 14.9 Rent 0.6 Royalties 64.6 Sundry 25.3 105.4 (b) Finance Costs Interest paid / payable 14.9 (c) Other Expenses General and administration expenses: Expense of share based payments 11.7 Amortisation of intellectual property and software 14.8 Other relevant expenses Depreciation and amortisation of property, plant and equipment 71.5 Net foreign exchange losses 4.7

3 Income Tax

The reconciliation between income tax expense and the consolidated entity’s applicable tax rate is as follows:

Profitfromcontinuing activities beforeincome taxexpense	633.9
Income tax calculated at 30%	190.2
Tax effect of non-assessable / non-deductible items
Research and development	(6.4)
Other (non-assessable revenue)/non-deductible expenses	2.1
(Utilisation of tax losses)/Unrecognised deferred tax assets	-
Effects of different rates of tax on overseas income	(53.7)
Under(over) provision inprevious year	(2.6)
Income taxexpense	129.6

CSL Interim Financial Statements for the six months ended 31 December 2011 presented in USD for the information of shareholders

Page 6

CSL Limited Notes to the Financial Statements in USD For the half-year ended 31 December 2011

4 Earnings Per Share

	Consolidated Entity
	December
	2011
	US$m
The following reflects the income and share information used in the
calculation of basic and diluted earnings per share:
Earnings usedincalculating basic earnings pershare	504.3
	Number of shares
	December
	2011
Weighted average number of ordinary shares used in the calculation of basic
earnings per share:	523,991,134
Effect of dilutive securities:
Share options	107,358
Performance rights	898,462
Globalemployee share plan	7,377
Adjusted weighted average number of ordinary shares used in calculating
diluted earnings pershare	525,004,331

*Refer note 10 for a reconciliation of the movement in issued shares.

5 Cash and cash equivalents

	Consolidated Entity	Consolidated Entity
	December	June
	2011	2011
	US$m	US$m
Cash at bank and on hand	268.7	316.9
Cashdeposits	1,048.5	198.3
Totalcashand cashequivalents	1,317.2	515.2

6 Property, Plant and Equipment

During the half-year ended 31 December 2011, the Group acquired assets with a cost of US$148.4m.

CSL Interim Financial Statements for the six months ended 31 December 2011 presented in USD for the information of shareholders

Page 7

CSL Limited Notes to the Financial Statements in USD For the half-year ended 31 December 2011

7 Borrowings and repayments

For the half year ended 31 December 2011, the Group has repaid US$14.5m of interest bearing debt, made US$1.9m of finance lease repayments, and refinanced US$225.8m of bank debt, a total of US$242.2m.

During the half the year the Group established several new debt facilities to refinance maturing bank debt and to fund Corporate initiatives including the A$900m share buyback announced on 19 October 2011. The new debt facilities consist of the following:

• (i) US$750m Private Placement with maturities in November 2018 (US$200m), November 2021 (US$250m), November 2023 (US$200m) and November 2026 (US$100m). The weighted average interest rate on the Private Placement is 3.81%;

• (ii) US$430m and EUR155m Syndicated bank facility that matures in November 2016. As at balance date US$100m and EUR100m has been drawn under this facility;

• (iii) US$105m Syndicated bank facility that matures in November 2016. As at balance date US$50m has been drawn under this facility; and

• (iv) A fully drawn JPY6b bilateral bank facility that matures in November 2016.

• (v) The total proceeds received from the above facilities during the six months ending 31 December 2011 were US$1,112.4m.

As at balance date the Group had US$456m in undrawn liquidity available under its bank debt facilities.

8 Contributed Equity

Movements in the contributed equity

	Number of	US$m
	Shares
Ordinary shares
Balance as at 1 July 2011	524,840,532	(228.0)
Shares issued to CSL employees through participation in:
- Performance Option Plan	63,160	1.1
- Performance Rights Plan	121,296	-
- Global Employee Share Plan	102,776	2.7
Shares acquired underthe ShareBuyBack	(5,761,762)	(181.8)
Balance as at 31 December 2011	519,366,002	(406.0)

CSL Interim Financial Statements for the six months ended 31 December 2011 presented in USD for the information of shareholders

Page 8

CSL Limited Notes to the Financial Statements in USD For the half-year ended 31 December 2011

9 Reserves

	Consolidated Entity
	December
	2011
	US$m
Composition
Share based payments reserve (i)	88.6
Foreign currency translation reserve (ii)	582.1
Available-for-saleinvestmentsreserve (iii)	(2.2)
	668.5

Nature and purpose of reserves

(i) Share based payments reserve

The share based payments reserve is used to recognise the fair value of options and performance rights issued but not exercised.

(ii) Foreign currency translation reserve

The results of foreign subsidiaries are translated into US dollars at average exchange rates. Assets and liabilities of foreign subsidiaries are translated to US dollars at exchange rates prevailing at balance date and resulting exchange differences are recognised in the foreign currency translation reserve in equity. On consolidation, exchange differences arising from the translation of any net investment in foreign entities, and of borrowings and other financial instruments designated as hedges of such investments, are taken to the foreign currency translation reserve in equity.

(iii) Available-for-sale investments reserve

Changes in the fair value and exchange differences arising on translation of investments classified as available-for-sale financial assets are recognised in other comprehensive income and accumulated in a separate reserve within equity. Amounts are reclassified to profit and loss when the associated assets are sold or impaired.

CSL Interim Financial Statements for the six months ended 31 December 2011 presented in USD for the information of shareholders

Page 9

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CSL Limited

ABN: 99 051 588 348

Abbreviated Financial Statements presented in USD for the information of Shareholders

for the year ended 30 June 2012

These abbreviated financial statements have been prepared using the same accounting policies as applied to the CSL Limited financial statements for the year ended 30 June 2012 issued on 22 August 2012 and available on the Company’s website www.csl.com.au,

with the exception of the following:

The financial statements were presented in AUDm while this report adopts a Presentation Currency of USD and is presented in US$m.

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CSL Limited Consolidated Statement of Comprehensive Income in USD for the year ended 30 June 2012

		Consolidated Group
		2012
	Notes	US$m
Continuing operations
Sales revenue	3	4,616.4
Cost of sales		(2,389.9)
Gross profit		2,226.5
Other revenues	3	197.2
Research and development expenses		(369.7)
Selling and marketing expenses		(505.8)
General and administration expenses		(237.7)
Finance costs	3	(40.5)
Profit before income tax expense		1,270.0
Income tax expense	4	(246.1)
Profit attributable to members of the parent company	22	1,023.9
Other comprehensive income
Exchange differences on translation of foreign operations, net of hedges on foreign investments	21	(364.5)
Actuarial gains/(losses) on defined benefit plans, net of tax	22	(49.2)
Mark to Market adjustment on available-for-sale financial assets	21	1.2
Total of other comprehensive income/(expenses)		(412.5)
Total comprehensive income for the period	24	611.4
Earnings per share	5	Cents
Basic earnings per share		197.20
Diluted earnings per share		196.79

The above consolidated statement of comprehensive income should be read in conjunction with the accompanying notes.

CSL Financial Statements for the year ended 30 June 2012 presented in USD for the information of shareholders

Page 1

CSL Limited Consolidated Balance Sheet in USD As at 30 June 2012

		Consolidated Group	Consolidated Group
		2012	2011
	Notes	US$m	US$m
CURRENT ASSETS
Cash and cash equivalents	6	1,171.4	515.2
Trade and other receivables	7	783.8	869.0
Inventories	8	1,482.7	1,564.8
Current tax assets	16	5.4	0
Other financial assets	9	1.8	19.3
Total Current Assets		3,445.1	2,968.3
NON-CURRENT ASSETS
Trade and other receivables	7	10.4	4.9
Other financial assets	9	1.1	2.4
Property, plant and equipment	10	1,380.9	1,297.5
Deferred tax assets	11	198.5	187.2
Intangible assets	12	865.3	983.4
Retirement benefit assets	13	0.0	2.8
Total Non-Current Assets		2,456.2	2,478.2
TOTAL ASSETS		5,901.3	5,446.5
CURRENT LIABILITIES
Trade and other payables	14	536.3	530.4
Interest-bearing liabilities and borrowings	15	169.6	243.1
Current tax liabilities	16	141.7	141.5
Provisions	17	100.3	95.2
Deferred government grants	18	1.0	1.1
Derivative financial instruments	19	1.4	5.4
Total Current Liabilities		950.3	1,016.7
NON-CURRENT LIABILITIES
Trade and other payables	14	15.4	4.3
Interest-bearing liabilities and borrowings	15	1,120.0	204.3
Deferred tax liabilities	11	111.1	131.3
Provisions	17	28.0	30.6
Deferred government grants	18	30.2	20.3
Retirement benefit liabilities	13	169.6	122.4
Total Non-Current Liabilities		1,474.3	513.2
TOTAL LIABILITIES		2,424.6	1,529.9
NET ASSETS		3,476.7	3,916.6
EQUITY
Contributed equity	20	(869.1)	(228.0)
Reserves	21	632.9	982.1
Retained earnings	22	3,712.9	3,162.5
TOTAL EQUITY	24	3,476.7	3,916.6

The above consolidated balance sheet should be read in conjunction with the accompanying notes.

CSL Financial Statements for the year ended 30 June 2012 presented in USD for the information of shareholders

Page 2

CSL Limited

Consolidated Statement of Changes in Equity in USD

for the year ended 30 June 2012

Consolidated Group Notes Contributed Equity US$m Foreign currency translation reserve **US$m **	Share based payment reserve US$m Available- for-sale investment reserve US$m Retained earnings US$m Total **US$m **
At 1 July 2011 (228.0) 901.1 Profit for the period - - Other comprehensive income - (364.5)	82.2 (1.2) 3,162.5 3,916.6 - - 1,023.9 1,023.9 - 1.2 (49.2) (412.5)
Total comprehensive income for the full year - (364.5) Transactions with owners in their capacity as owners Share based payments 21 - - Dividends 23 - - Share buy back 20 (650.1) - Share issues - Employee share scheme 20 9.0 -	- 1.2 974.7 611.4 14.1 - - 14.1 - - (424.3) (424.3) - - - (650.1) - - - 9.0
Balance as at 30 June 2012 (869.1) 536.6	96.3 - 3,712.9 3,476.7

The above consolidated statement of changes in equity should be read in conjunction with the accompanying notes.

CSL Financial Statements for the year ended 30 June 2012 presented in USD for the information of shareholders

Page 3

CSL Limited Consolidated Statement of Cash Flows in USD

for the year ended 30 June 2012

		Consolidated Group
		2012
Notes		US$m
Cash flows from Operating Activities
Receipts from customers		4,839.5
Payments to suppliers and employees		(3,383.1)
Cash generated from operations		1,456.4
Income taxes paid		(252.3)
Interest received		37.2
Finance costs paid		(35.5)
Net cash inflow from operating activities	25	1,205.8
Cash flows from Investing Activities
Proceeds from sale of property, plant and equipment		0.1
Payments for property, plant and equipment		(309.2)
Payments for intangible assets		(14.2)
Receipts from other financial assets		1.1
Net cash outflow from investing activities		(322.2)
Cash flows from Financing Activities
Proceeds from issue of shares		10.3
Dividends paid	23	(424.3)
Proceeds from borrowings		1,112.4
Repayment of borrowings		(243.6)
Payment for shares bought back		(650.1)
Payment for settlement of finance hedges		0.6
Net cash outflow from financing activities		(194.7)
Net increase/(decrease) in cash and cash equivalents		688.9
Cash and cash equivalents at the beginning of the financial year		514.6
Exchange rate variations on foreign cash and cash equivalent balances		(35.4)
Cash at the end of the financial year	25	1,168.1
For non-cash financing activities refer to note 25.

The above consolidated cash flow statement should be read in conjunction with the accompanying notes.

CSL Financial Statements for the year ended 30 June 2012 presented in USD for the information of shareholders

Page 4

CSL Limited and its controlled entities Notes to the Financial Statements in USD for the year ended 30 June 2012

1. Corporate information

CSL Limited is a for-profit company incorporated and domiciled in Australia and limited by shares publicly traded on the Australian Securities Exchange.

Summary of significant accounting policies

The accounting policies adopted in the preparation of the USD financial report are identical to those detailed in Note 1 of CSL Limited’s Financial Report for the year ended 30 June 2012 published in the CSL Limited Annual Report, with the exception of the presentation currency noted below.

(a) Foreign currency translation

• i. Functional and presentation currency Items included in the financial statements of each of the Group’s entities are measured using the currency of the primary economic environment in which the entity operates (‘the functional currency’).

The financial statements of CSL Limited (the parent entity of the Group) are measured in Australian Dollars which is that entity’s functional currency.

The consolidated financial statements are presented in US dollars, which is the Group’s presentation currency.

• ii. Translation and balances

• Foreign currency transactions are translated into the functional currency using the exchange rates prevailing at the dates of the transactions. Foreign exchange gains and losses resulting from the settlement of such transactions and from the translation at year end exchange rates of monetary assets and liabilities denominated in functional currencies are recognised in the statement of comprehensive income, except when deferred in equity as qualifying cash flow hedges and qualifying net investment hedges or are attributable to part of the net investment in a foreign operation.

• iii. Group companies

The results of foreign subsidiaries are translated into US dollars at average exchange rates. Assets and liabilities of foreign subsidiaries are translated to US dollars at exchange rates prevailing at balance date. All resulting exchange differences are recognised in other comprehensive income and in the foreign currency translation reserve in equity.

On consolidation, exchange differences arising from the translation of any net investment in foreign entities, and of borrowings and other financial instruments designated as hedges of such investments, are recognised in other comprehensive income and in the foreign currency translation reserve in equity. When a foreign operation is sold or any borrowings forming part of the net investment are repaid, a proportionate share of such exchange differences are recognised in the statement of comprehensive income, as part of the gain on sale or loss on sale where applicable.

CSL Financial Statements for the year ended 30 June 2012 presented in USD for the information of shareholders

Page 5

CSL Limited and its controlled entities Notes to the Financial Statements in USD for the year ended 30 June 2012

• 2 Segment Information

Description of Segments

Reportable segments are:

• CSL Behring – manufactures markets and develops plasma products.

• Intellectual Property Licensing – revenue and associated expenses from the licensing of Intellectual Property generated by the Group to unrelated third parties.

• Other Human Health – comprises CSL Bioplasma and CSL Biotherapies. These businesses manufacture and distribute biotherapeutic products and are disclosed in aggregate as they exhibit similar economic characteristics.

Geographical areas of operation

The Group operates predominantly in four specific geographic areas, namely Australia, the United States of America, Switzerland, and Germany. The rest of the Group’s operations are spread across many countries and are collectively disclosed as ‘Rest of World’ in note 2.

Segment Accounting Policies

Inter-segment sales are carried out on an arm’s length basis and reflect current market prices. Segment accounting policies are the same as the Group’s policies described in note 1. During the financial year, there were no changes in segment accounting policies.

CSL Financial Statements for the year ended 30 June 2012 presented in USD for the information of shareholders

Page 6

CSL Limited and its controlled entities Notes to the Financial Statements in USD for the year ended 30 June 2012

2 Segment Information (continued)

		CSL Behring 2012 US$m	Intellectual		Other Human Health 2012 US$m	Intersegment Elimination 2012 US$m	Consolidated Group 2012 US$m
			Property
			Licensing
			2012
			US$m
Sales to external customers Inter-segment sales Other revenue(excl interest income)		3,763.1 145.4 4.7	- - 142.3		853.3 - 8.3	- (145.4) -	4,616.4 - 155.3
Total segment revenue Interest income Unallocated revenue / income		3,913.2	142.3		861.6	(145.4)	4,771.7 42.8 (0.9)
Consolidated revenue							4,813.6
Segment EBIT Unallocated revenue / income less unallocated costs		1,230.9			(38.2)	-	1,318.4 (50.7)
			125.7
Consolidated EBIT Interest income Finance costs							1,267.7 42.8 (40.5)
Consolidated profit before tax Income tax expense							1,270.0 (246.1)
Consolidated netprofit after tax							1,023.9
Amortisation Depreciation		29.7 98.0			- 44.9	- -	29.7 142.9
			- -
Segment EBITDA Unallocated revenue / income less unallocated costs Unallocated depreciation and amortisation		1,358.6	125.7		6.7	-	1,491.0 (50.7) 5.4
Consolidated EBITDA							1,445.7
Segment assets Other unallocated assets Elimination of amounts between operating segments and unallocated
		4,270.9	21.2		1,087.3	(168.2)	5,211.2
							1,598.1
							(908.0)
Total assets							5,901.3
Segment liabilities Other unallocated liabilities Elimination of amounts between operating segments and unallocated
		1,856.6	4.0		496.8	(168.2)	2,189.2
							1,143.4
							(908.0)
Total liabilities							2,424.6
Other information - capital expenditure Payments for property, plant and equipment Payments for software intangibles
		188.3	-		120.9	-	309.2
		14.2	-		-	-	14.2
Total capital expenditure		202.5	-		120.9	-	323.4

CSL Financial Statements for the year ended 30 June 2012 presented in USD for the information of shareholders

Page 7

CSL Limited and its controlled entities Notes to the Financial Statements in USD for the year ended 30 June 2012

2 Segment Information (continued)

		United			Rest of
Geographic areas	Australia	States	Switzerland	Germany	world	Total
June 2012	US$m	US$m	US$m	US$m	US$m	US$m
External sales revenue	604.1	1,774.6	146.5	678.8	1,412.4	4,616.4
Property, plant, equipment and intangible assets	553.0	472.0	969.0	238.8	13.4	2,246.2

3	Consolidated Group
	2012 **US$m **
	Revenue and expenses from continuing operations Revenue Sales revenue 4,616.4
	Other revenue Royalties and licence revenue 142.3 Finance revenue 42.8 Rent 1.3 Other revenue 10.8
	Total other revenues 197.2
	Total revenue from continuingoperations 4,813.6
	Finance revenue comprises: Interest income: Otherpersons and/or corporations 42.8
	Total finance revenue 42.8
	Finance costs Interest expense: Otherpersons and/or corporations 40.5
	Total finance costs 40.5

CSL Financial Statements for the year ended 30 June 2012 presented in USD for the information of shareholders

Page 8

CSL Limited and its controlled entities Notes to the Financial Statements in USD for the year ended 30 June 2012

3	Consolidated Group 2012 Notes US$m Revenue and expenses (continued) Depreciation and amortisation Depreciation and amortisation of fixed assets Building depreciation 10 13.9 Plant and equipment depreciation 10 125.4 Leased property, plant and equipment amortisation 10 3.0 Leasehold improvements amortisation 10 6.1 Total depreciation and amortisation of fixed assets 148.4 Amortisation of intangibles Intellectual property 12 18.8 Software 12 10.8 Total amortisation of intangibles 29.6 Impairment loss Intellectualproperty 12 - Total depreciation, amortisation and impairment expense 178.0 Other expenses Write-down of inventory to net realisable value 78.5 Doubtful debts 27.1 Net loss on disposal of property, plant and equipment 2.5 Net foreign exchange loss 7.7 Lease payments and related expenses Rental expenses relatingto operatingleases 34.7
	Employee benefits expense Salaries and wages 985.1 Defined benefit plan expense 20.6 Defined contribution plan expense 19.8 Share based payments expense (LTI) 21 12.1 Share basedpayments expense(EDIP) 11.7
	Total employee benefits expense 1,049.3

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CSL Financial Statements for the year ended 30 June 2012 presented in USD for the information of shareholders

Page 9

CSL Limited and its controlled entities Notes to the Financial Statements in USD for the year ended 30 June 2012

4	Consolidated Group
	2012 Notes US$m
	Income tax expense Income tax expense recognised in the statement of comprehensive income Current tax expense Currentyear 266.1
	Deferred tax expense Origination and reversal of temporary differences 11 (19.4) Tax losses recognised -
	Total deferred tax expense (19.4)
	Overprovided inprioryears (0.6)
	Income tax expense 246.1
	Reconciliation between tax expense and pre-tax net profit The reconciliation between tax expense and the product of accounting profit before income tax multiplied by the Group’s applicable income tax rate is as follows: Accounting profit before income tax 1270.0
	Income tax calculated at 30% 381.0 Research and development (10.7) Other non-deductible items 4.1 Utilisation of tax losses/unrecognised deferred tax - Effects of different rates of tax on overseas income (127.7) Overprovision inprioryear (0.6)
	Income tax expense 246.1
	Income tax recognised directly in equity Deferred tax benefit Share basedpayments 1.0
	Income tax benefit recognised in equity 11 1.0

CSL Financial Statements for the year ended 30 June 2012 presented in USD for the information of shareholders

Page 10

CSL Limited and its controlled entities Notes to the Financial Statements in USD for the year ended 30 June 2012

	Consolidated Group
	2012 US$m
	Earnings Per Share Earnings used in calculating basic and dilutive earnings per share comprises: Profit attributable to ordinaryshareholders 1,023.9
5
	Number of shares 2012
	Weighted average number of ordinary shares used in the calculation of basic earnings per share: 519,233,274 Effect of dilutive securities: Employee options 95,871 Employee performance rights 965,977 Global employee shareplan 9,380
	Adjusted weighted average number of ordinary shares used in the calculation of diluted earnings pershare: 520,304,502

Options and performance rights

Options and performance rights granted to employees are considered to be potential ordinary shares that have been included in the determination of diluted earnings per share to the extent to which they are dilutive. The options and rights have not been included in the determination of basic earnings per share.

CSL Financial Statements for the year ended 30 June 2012 presented in USD for the information of shareholders

Page 11

CSL Limited and its controlled entities Notes to the Financial Statements in USD for the year ended 30 June 2012

6 7	Consolidated Group
	2012 2011 US$m US$m
	Cash and cash equivalents Cash at bank and on hand 342.3 316.9 Cash deposits 829.1 198.3
	Total cash and cash equivalents 1,171.4 515.2
	Note 25(a) contains a reconciliation of the above figures to cash at the end of the financial year as shown in the statement of cash flows. Trade and other receivables Current Trade receivables 723.6 789.2 Less: Provision for impairment loss_(i)_ (46.2) (24.6)
	677.4 764.6 Sundry receivables 77.7 72.1 Prepayments 28.7 32.3
	Carryingamount of current trade and other receivables 783.8 869.0
	Non-Current Related parties Loans to other employees 0.1 1.2 Long term deposits 3.6 - Other receivables 6.7 3.7
	Carryingamount of non-current trade and other receivables 10.4 4.9

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CSL Financial Statements for the year ended 30 June 2012 presented in USD for the information of shareholders

Page 12

CSL Limited and its controlled entities Notes to the Financial Statements in USD for the year ended 30 June 2012

8 9	Consolidated Group
	2012 2011 US$m US$m
	Inventories Raw materials and stores at the lower of cost and net realisable value 320.9 306.6 Work in progress at the lower of cost and net realisable value 421.2 497.0 Finishedgoods at the lower of cost and net realisable value 740.6 761.2
	Total inventories at the lower of cost and net realisable value 1,482.7 1,564.8
	Other financial assets Current At fair value through the profit or loss: Managed financial assets (held for trading) 1.8 19.3 Available-for-sale financial assets - -
	Total current other financial assets as at 30 June 1.8 19.3
	Non-current At fair value through the profit or loss: Managed financial assets 1.1 2.4
	Total non-current other financial assets as at 30 June 1.1 2.4

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CSL Financial Statements for the year ended 30 June 2012 presented in USD for the information of shareholders

Page 13

CSL Limited and its controlled entities Notes to the Financial Statements in USD for the year ended 30 June 2012

10	Consolidated Group
	2012 2011 US$m US$m
	Property, Plant and Equipment Land at cost Opening balance 1 July 27.2 Currencytranslation differences (1.6)
	Closingbalance 30 June 25.6 27.2
	Buildings at cost Opening balance 1 July 305.1 Transferred from capital work in progress 17.5 Disposals (0.6) Currencytranslation differences (25.8)
	Closingbalance 30 June 296.2 305.1
	Accumulated depreciation and impairment losses Opening balance 1 July 82.5 Depreciation for the year 13.9 Disposals (0.4) Currencytranslation differences (8.5)
	Closingbalance 30 June 87.5 82.5
	Net book value of buildings 208.7 222.6
	Net book value of land and buildings 234.3 249.8
	Leasehold improvements at cost Opening balance 1 July 68.5 Transferred from capital work in progress 16.6 Other additions 0.5 Disposals (0.9) Currencytranslation differences (0.3)
	Closingbalance 30 June 84.4 68.5
	Accumulated amortisation and impairment Opening balance 1 July 21.5 Amortisation for the year 6.1 Disposals (0.8) Currencytranslation differences 0.2
	Closingbalance 30 June 27.0 21.5
	Net book value of leasehold improvements 57.4 47.0

CSL Financial Statements for the year ended 30 June 2012 presented in USD for the information of shareholders

Page 14

CSL Limited and its controlled entities Notes to the Financial Statements in USD for the year ended 30 June 2012

10	Consolidated Group
	2012 2011 US$m US$m
	Property, Plant and Equipment (continued) Plant and equipment at cost Opening balance 1 July 1,628.1 Transferred from capital work in progress 137.7 Other additions 16.9 Disposals (18.9) Currencytranslation differences (142.2)
	Closingbalance 30 June 1,621.6 1,628.1
	Accumulated depreciation and impairment Opening balance 1 July 819.0 Depreciation for the year 125.4 Disposals (18.0) Currencytranslation differences (73.8)
	Closingbalance 30 June 852.6 819.0
	Net book value ofplant and equipment 769.0 809.1
	Leased property, plant and equipment at cost Opening balance 1 July 35.3 Other additions 1.1 Disposals (1.3) Currencytranslation differences (4.2)
	Closingbalance 30 June 30.9 35.3
	Accumulated amortisation and impairment Opening balance 15.4 Amortisation for the year 3.0 Disposals (0.9) Currencytranslation differences (2.5)
	Closingbalance 30 June 15.0 15.4
	Net book value of leasedproperty,plant and equipment 15.9 19.9
	Capital work in progress Opening balance 1 July 171.8 Other additions 324.6 Disposals (1.0) Transferred to buildings at cost (17.5) Transferred to plant and equipment at cost (137.7) Transferred to leasehold improvements at cost (16.6) Currencytranslation differences (19.3)
	Closingbalance 30 June 304.3 171.8
	Total net book value ofproperty, plant and equipment 1,380.9 1,297.5

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CSL Financial Statements for the year ended 30 June 2012 presented in USD for the information of shareholders

Page 15

CSL Limited and its controlled entities Notes to the Financial Statements in USD for the year ended 30 June 2012

11	Consolidated Group
	2012 2011 US$m US$m
	Deferred tax assets and liabilities Deferred tax asset 198.5 187.2 Deferred tax liability (111.1) (131.3)
	Net deferred tax asset/(liability) 87.4 55.9
	Deferred tax balances reflect temporary differences attributable to: Amounts recognised in the statement of comprehensive income Trade and other receivables (8.8) Inventories 91.8 Property, plant and equipment (71.5) Intangible assets (43.1) Other assets (0.6) Trade and other payables 10.5 Interest bearing liabilities 3.9 Other liabilities and provisions 50.9 Retirement assets/(liabilities) 30.6 Tax bases not in net assets – share based payments 10.4 Recognised carry-forward tax losses 8.6
	82.7
	Amounts recognised in equity Capital raising costs 1.8 Share basedpayments 2.9
	4.7
	Net deferred tax asset/(liability) 87.4
	Movement in temporary differences during the year Opening balance 55.9 Credited/(charged) to profit before tax 19.4 Credited/(charged) to other comprehensive income 15.9 Credited/(charged) to equity 1.0 Currencytranslation difference (4.8)
	Closingbalance 87.4
	Unrecognised deferred tax assets Deferred tax assets have not been recognised in respect of the following items: Tax losses: Expiry date in less than 1 year 0.1 Expiry date greater than 1 year but less than 5 years - Expiry date greater than 5 years - No expirydate 0.7
	0.8

Deferred tax assets have not been recognised in respect of these items because it is not probable that future taxable profit will be available for utilisation in the entities that have recorded these losses.

CSL Financial Statements for the year ended 30 June 2012 presented in USD for the information of shareholders

Page 16

CSL Limited and its controlled entities Notes to the Financial Statements in USD for the year ended 30 June 2012

12	Consolidated Group
	2012 2011 US$m US$m
	Intangible Assets Carrying amounts Goodwill Opening balance at 1 July 766.0 Currencytranslation differences (83.8)
	Closingbalance at 30 June 682.2 766.0
	Intellectual property Opening balance at 1 July 381.4 Additions 0.6 Disposals (1.6) Currencytranslation differences (35.2)
	Closingbalance at 30 June 345.2 381.4
	Accumulated amortisation and impairment Opening balance at 1 July 213.7 Amortisation for the year 18.8 Currencytranslation differences (18.9)
	Closingbalance at 30 June 213.6 213.7
	Net intellectualproperty 131.6 167.7
	Software Opening balance at 1 July 58.5 Additions 0.6 Transfers from intangible capital work in progress 15.0 Currencytranslation differences (2.1)
	Closingbalance at 30 June 72.0 58.5
	Accumulated amortisation and impairment Opening balance at 1 July 20.2 Amortisation for the year 10.8 Currencytranslation differences (1.1)
	Closingbalance at 30 June 29.9 20.2
	Net Software 42.1 38.3
	Intangible capital work in progress Opening balance at 1 July 11.4 Additions 13.3 Transfers to software intangibles (15.0) Currencytranslation differences (0.3)
	Closingbalance at 30 June 9.4 11.4
	Total net intangible assets as at 30 June 865.3 983.4

The amortisation charge is recognised in general and administration expenses in the statement of comprehensive income.

CSL Financial Statements for the year ended 30 June 2012 presented in USD for the information of shareholders

Page 17

CSL Limited and its controlled entities Notes to the Financial Statements in USD for the year ended 30 June 2012

Consolidated Group 2012 US$m

12	Intangible Assets (continued)
	Impairment tests for cash generating units containing goodwill

For the purpose of impairment testing, goodwill is allocated to the business unit which represents the lowest level within the Group at which the goodwill is monitored for internal management purposes. The aggregate carrying amounts of goodwill allocated to each unit are as follows:

CSL Behring	669.9
CSL Biotherapies	12.3
Closingbalance ofgoodwill as at 30 June	682.2

The impairment tests for these cash generating units are based on value in use calculations. These calculations use cash flow projections based on actual operating results and the three-year strategic business plan, after which a terminal value is calculated based on a business valuation multiple. The valuation multiple has been calculated based on independent external analyst views, long term government bond rates and the company’s pre-tax cost of debt. Projected cash flows have been discounted by using the implied pre-tax discount rate of 8.4% associated with the business valuation multiple discussed above. Each unit’s recoverable amount exceeds the carrying value of its net assets, inclusive of goodwill. It is not considered a reasonable possibility for a change in assumptions to occur that would lead to a unit’s recoverable amount falling below the carrying value of each unit’s respective net assets.

CSL Financial Statements for the year ended 30 June 2012 presented in USD for the information of shareholders

Page 18

CSL Limited and its controlled entities Notes to the Financial Statements in USD for the year ended 30 June 2012

13 14 15	Consolidated Group
	2012 2011 US$m US$m
	Retirement benefit assets and liabilities Retirement benefit assets Non-current defined benefitplans(refer note 26) - 2.8
	Retirement benefit liabilities Non-current defined benefitplans(refer note 26) 169.6 122.4
	Trade and other payables Current Trade payables 220.9 263.0 Accruals and otherpayables 315.4 267.4
	Carryingamount of current trade and otherpayables 536.3 530.4
	Non-current Share basedpayments(EDIP) 15.4 4.3
	Carryingamount of non-current trade and otherpayables 15.4 4.3
	Interest-bearing liabilities and borrowings Current Bank overdrafts – Unsecured 3.3 0.6 Bank loans – Unsecured_(a) - 224.7 Senior Unsecured Notes - Unsecured(b) 163.4 14.7 Lease liability– Secured (c)_ 2.9 3.1
	169.6 243.1
	Non-current Bank loans – Unsecured_(a) 351.4 - Senior Unsecured Notes - Unsecured(b) 744.8 175.1 Lease liability- Secured(c)_ 23.8 29.2
	1,120.0 204.3

(a) The Group has three revolving committed bank facilities. These facilities mature in November 2016. Interest on the facilities is paid quarterly in arrears at a variable rate. As at the reporting date the Group had US$454.2m in undrawn funds available under these facilities.

(b) Represents US$844.1 million and Euro 55.9 million of Senior Unsecured Notes placed into the US Private Placement market. The Euro notes and US$94.1 million of the US$ notes mature in December 2012. The balance of the US$ notes mature in November 2018 (US$200m), November 2021 (US$250m), November 2023 (US$200m) and November 2026 (US$100m). The weighted average interest rate on the notes is fixed at 4.04% for the US$ notes and 4.67% for the Euro notes.

(c) Finance leases have an average lease term of 12 years. The weighted average discount rate implicit in the leases is 5.75%. The Group’s lease liabilities are secured by leased assets of US$15.9m. In the event of default, leased assets revert to the lessor.

CSL Financial Statements for the year ended 30 June 2012 presented in USD for the information of shareholders

Page 19

CSL Limited and its controlled entities Notes to the Financial Statements in USD for the year ended 30 June 2012

16 17	Consolidated Group
	2012 2011 US$m US$m
	Tax liabilities Current tax receivable 5.4 -
	5.4 -
	Current tax liability 141.7 141.5
	141.7 141.5
	Provisions Current Employee benefits 81.7 76.9 Restructuring 6.6 4.4 Onerous contracts 10.3 11.9 Other 1.7 2.0
	100.3 95.2
	Non-current Employee benefits 27.2 29.4 Other 0.8 1.2
	28.0 30.6

Restructuring

A restructuring provision is recognised when the main features of the restructuring are planned. Restructuring plans must set out the businesses, locations and approximate number of employees affected and the expenditures that will be undertaken, together with an implementation timetable. There must be a demonstrable commitment and valid expectation in those affected that the restructuring plan will be implemented prior to a provision being recognised.

Onerous contracts

The provision recognised is based on the excess of the estimated cash flows to meet the unavoidable costs, over the estimated cash flows to be received in relation to certain contracts, having regard to the risks of the activities relating to the contracts.

Discounting

Where the effect of discounting is determined to be material to the provision, the net estimated cash flows are discounted using a pre-tax discount rate reflecting current market assessments of the time value of money and the risks specific to the liability.

CSL Financial Statements for the year ended 30 June 2012 presented in USD for the information of shareholders

Page 20

CSL Limited and its controlled entities Notes to the Financial Statements in USD for the year ended 30 June 2012

17 18 19	Consolidated Group
	2012 2011 US$m US$m
	Provisions (continued) Movements in provisions Restructuring Opening balance 4.4 Provided 3.4 Payments made (1.1) Currencydifferences (0.1)
	Closingbalance 6.6 4.4
	Onerous contracts Opening balance 11.9 Currencydifferences (1.6)
	Closingbalance 10.3 11.9
	Other Opening balance 3.2 Additional provision 0.3 Payments made (0.6) Currencydifferences (0.4)
	Closingbalance 2.5 3.2
	Deferred government grants Current deferred income 1.0 1.1 Non-current deferred income 30.2 20.3
	Total deferredgovernmentgrants 31.2 21.4
	Derivative financial instruments – current liabilities Forward CurrencyContracts 1.4 5.4

The Group has entered into forward currency contracts as an economic hedge against variations in the value of certain trade payable amounts due to currency fluctuations. All movements in the fair value of these forward currency contracts are recognised in the profit and loss when they occur.

CSL Financial Statements for the year ended 30 June 2012 presented in USD for the information of shareholders

Page 21

CSL Limited and its controlled entities Notes to the Financial Statements in USD for the year ended 30 June 2012

20	Consolidated Group
	2012 2011 US$m US$m
	Contributed equity Ordinary shares issued and fully paid - - Share buy-back reserve (869.1) (228.0)
	Total contributed equity (869.1) (228.0)

Ordinary shares have the right to receive dividends as declared and, in the event of winding up the company, to participate in the proceeds from the sale of all surplus assets in proportion to the number of and amounts paid up on shares held. Ordinary shares entitle their holder to one vote, either in person or proxy, at a meeting of the company.

Due to share buy-backs, the balance for ordinary share contributed equity has been reduced to nil, and a reserve created to reflect the excess of shares bought over the original amount of subscribed capital.

	(i) (ii)	2012
		Number of shares **US$m **
		Movement in contributed equity Opening balance at 1 July 524,840,532 (228.0) Shares issued to employees via: - Performance Options_(i) 163,814 3.6 - Performance Rights (for nil consideration) 240,178 - - GESP(ii)_ 207,576 5.4 Share buy-back, inclusive of cost (18,522,253) (650.1)
		Closingbalance 506,929,847 (869.1)
		Consolidated Group
		2012 US$m
		Options exercised under Performance Option plans as disclosed in note 27 were as follows - 128,670 issued at AU$17.48 2.3 - 30,849 issued at AU$35.46 1.1 - 4,295 issued at AU$37.91 0.2
		3.6
		Shares issued to employees under Global Employee Share Plan (GESP) as disclosed in note 27 were as follows: - 102,876 issued at AU$24.17 on 7 September 2011 2.7 - 104,700 issued at AU$24.03 on 8 March 2012 2.7
		5.4

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CSL Financial Statements for the year ended 30 June 2012 presented in USD for the information of shareholders

Page 22

CSL Limited and its controlled entities Notes to the Financial Statements in USD for the year ended 30 June 2012

21	Consolidated Group
	2012 2011 US$m US$m
	Reserves Share based payments reserve 96.3 82.2 Foreign currency translation reserve 536.6 901.1 Available-for-sale investments reserve - (1.2)
	Carryingvalue of reserves at 30 June 632.9 982.1
	Movements in reserves Share based payments reserve (i) Opening balance at 1 July 82.2 Share based payments expense 12.1 Deferred tax on share basedpayments 2.0
	Closingbalance at 30 June 96.3 82.2
	Foreign currency translation reserve (ii) Opening balance at 1 July 901.1 Net exchangegains /(losses)on translation of foreign subsidiaries, net of hedge (364.5)
	Closingbalance at 30 June 536.6 901.1
	Available-for-sale investments reserve (iii) Opening balance at 1 July (1.2) Mark to market adjustment on available-for-sale financial assets 1.2
	Closingbalance at 30 June - (1.2)

Nature and purpose of reserves

• (i) Share based payments reserve

The share based payments reserve is used to recognise the fair value of options, performance rights and global employee share plan rights issued to employees.

• (ii) Foreign currency translation reserve

The foreign currency translation reserve is used to record exchange differences arising from the translation of the financial statements of foreign operations and exchange gains and losses arising on those foreign currency borrowings which are designated as hedging the Company’s net investment in foreign operations.

(iii) Available-for-sale investments reserve

Changes in the fair value and exchange differences arising on translation of investments classified as available-for-sale financial assets are recognised in other comprehensive income and accumulated in a separate reserve within equity. Amounts are reclassified to profit and loss when the associated assets are sold or impaired.

CSL Financial Statements for the year ended 30 June 2012 presented in USD for the information of shareholders

Page 23

CSL Limited and its controlled entities Notes to the Financial Statements in USD for the year ended 30 June 2012

22 23	Consolidated Group
	2012 2011 Note US$m US$m
	Retained earnings Opening balance at 1 July 3,162.5 Net profit for the year 1,023.9 Dividends 23 (424.3) Actuarial gain/(loss) on defined benefit plans (65.1) Deferred tax on actuarialgain/(loss)on defined benefitplans 15.9
	Closingbalance at 30 June 3,712.9 3,162.5
	Dividends Dividends paid Dividends recognised in the current year by the Company are: Final ordinary dividend of Australian 45 cents per share, franked to 4%, paid on 14 October 2011 231.0 Interim ordinary dividend of Australian 36 cents per share, unfranked, paid on 13 April 2012 193.3
	424.3
	Dividends not recognised at year end In addition to the above dividends, since year end the directors have recommended the payment of a final dividend of Australian 47 cents (approximately US$ 51 cents) per share, unfranked. The final dividend is expected to be paid on 12 October 2012. Based on the number of shares on issue as at reporting date, the aggregate amount of the proposed dividend would be: 257.2 The actual aggregate dividend amount paid out of profits will be dependent on the actual numberofshares on issue at dividendrecord date.

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CSL Financial Statements for the year ended 30 June 2012 presented in USD for the information of shareholders

Page 24

CSL Limited and its controlled entities Notes to the Financial Statements in USD for the year ended 30 June 2012

24	Consolidated Group
	2012 2011 Notes US$m **US$m **
	Equity Total equity at the beginning of the financial year 3,916.6 Total comprehensive income for the period 611.4 Movement in contributed equity 20 (641.1) Dividends 23 (424.3) Movement in share basedpayments reserve 21 14.1
	Total equityat the end of the financialyear 3,476.7 3,916.6
	Statement of Cash Flows Reconciliation of cash and cash equivalents and non-cash financing and investing activities Cash at the end of the year is shown in the cash flow statement as: Cash at bank and on hand 6 342.3 316.9 Cash deposits 6 829.1 198.3 Bank overdrafts 15 (3.3) (0.6)
25 (a) (b) (c)
	1,168.1 514.6
	Reconciliation of Profit after tax to Cash Flows from Operations Profit after tax 1,023.9 Non-cash items in profit after tax Depreciation, amortisation and impairment charges 178.0 (Gain)/loss on disposal of property, plant and equipment 2.5 Mark to market adjustment on available-for-sale investments - Share based payments expense 23.8 Changes in assets and liabilities: (Increase)/decrease in trade and other receivables 2.9 (Increase)/decrease in inventories (31.9) (Increase)/decrease in retirement benefit assets 2.6 Increase/decrease in net tax assets and liabilities (6.2) Increase/(decrease) in trade and other payables 1.8 Increase/(decrease) in provisions 10.6 Increase/(decrease)in retirement benefit liabilities (2.2)
	Net cash inflow from operatingactivities 1,205.8
	Non cash financing activities Acquisition ofplant and equipment bymeans of finance leases 1.1

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CSL Financial Statements for the year ended 30 June 2012 presented in USD for the information of shareholders

Page 25

CSL Historical Financial Performance in USD

Explanatory Notes

The financial statements have been prepared on the basis that the Group had always reported in USD using the methodology outlined in these explanatory notes.

The Profit & Loss Statement has been converted to USD using the average exchange rate for the relevant period.

The Balance Sheet down to Net Assets (ie Current and Non Current Assets as well as Current and Non Current Liabilities) has been converted to USD using the exchange rate as at the relevant balance date.

Net Assets of A$3,428.3m as at 30 June 2012 have been converted at an exchange rate of 1.0141 to US$3,476.7m

The Equity Section of the Balance Sheet has been converted to USD using approximate historical exchange rates.

The application of this approach does generate some significant differences in the Equity section from the Australian Dollar financial statements for the same date:

• Share Capital – the balance is a function of both the Australian Dollar value of transactions and the AUD/USD rate applicable at the relevant transaction date. As a consequence of applying the methodology outlined above the Share Capital balance of (A$373.3m) at 30 June 2012 is now (US$869.1m). The majority of this movement is related to the different exchange rates applicable to significant historical movements in Share Capital. CSL has raised equity for acquisitions on four occasions with an average AUD/USD exchange rate of approximately 0.78 and has undertaken share buyback when the average AUD/USD exchange rate was approximately 0.93.

• Retained Earnings – the balance is an accumulation of USD denominated profit generated by the Group, less dividends paid to shareholders. Each dividend has been converted to USD at the payment date and this will not equal the average rate applied to the generation of the underlying profits. Retained Earnings of A$4,324.5m at 30 June 2012 are now US$3,712.9m. There is no impact on the Group’s ability to pay dividends which are paid by CSL Limited which has a retained earnings balance (recorded in AUD) that is unaffected by the change in presentation currency of the group to USD.

• Reserves

• Share Based Payments of A$113.2m at June 2012 is now US$96.3m

• FCTR of (A$636.1m) at June 2012 is now US$536.6m

Explanatory Notes to CSL Financial Statements presented in USD for the information of shareholders