Fresenius Medical Care AG & Co. KGaA

Investor Presentation • Feb 26, 2003

The World's Leading Renal Therapy Company

-1-

Business Update

Financial Highlights Q4 / FY 2002

Outlook

2002 – Key Accomplishments

• Introduced UltraCare™ Concept in our North American clinics
• Continued above-market growth in worldwide product business
• Achieved major breakthroughs in 1996 merger-related legal issues including Fraudulent Conveyance (FC)
• Adjusted to Latin American currency environment to continue profitable growth
• Generated Outstanding Free Cash Flow

• Improving Operating Margin in North America
• Positive UltraCare™ Outcome Data
• Stable reimbursement environment in North America
• Significant Global Growth Opportunities in Peritoneal Dialysis

Improving Operating Margin North America

2002 Achieving single-use cost neutrality

• New staffing model delivers efficiencies
• Medical supply costs differential < \$1/treatment

2003 Upgrading North American operating performance

• New management structure
• Streamlining of less efficient clinics
• Manufacturing / Logistics cost reduction program

-5-

Positive UltraCare™ NR Outcome Data

Significantly better medical outcomes which improve with time on UltraCare™ NR

Ca M ix: se	de d ia be te d ia ly is ag e, g en r, ra ce s, ea rs on s y ,
La b:	l bu in, b ica bo b loo d P h, bo dy fa lc ium in ine iro K T, ho ho fe i t in tc. te t e. g. a m r na s ur ce a re a, ca cr ea n, p sp ru s, rr e , , ,
S ou rc e:	f C fro f C ™ Pr l im in t t iv ly is d t t d l l-o t U l t N R e a ry re ro s p e c e a na s o o m p a ny a a g e ne ra e m ro u o ra a re p ro g ra m

Stable Reimbursement environment in North America

Near term: stable to positive

• No Medicare increase in 2003 as expected
• MedPac¹ proposed 1.6% composite rate increase for 2004

Strategic: opportunity for new renal services

CMS² Open Door Forum – Disease Management (DM) Demonstration project

Opportunity to establish DM in Medicare environment

¹ Medicare Payment Advisory Commission (MedPac), advises the U.S. Congress on issues affecting the Medicare program (www.medpac.gov)

² Centers for Medicare&Medicaid Services (CMS) is a federal agency within the U.S. Department of Health and Human Services. CMS was formerly known as the Health Care Financing Administration (HCFA) (www.cms.gov)

Significant Global Growth Opportunities in Peritoneal Dialysis (PD)

Peritoneal Dialysis (PD)

• Treatment Modality for ~11% of global patients
• Dominant treatment in selected regional markets and patient situations

Our market position

• No. 2 worldwide supplier
• Complete product range and global manufacturing presence
• Growing clearly above market

FY 2002: above-market growth in PD

2002 Revenue Growth by Segment

Total revenues \$5,084 million +5% (6% constant currency=cc)

In millions millions

Revenue by Business Unit FY 2002 and Q4

- 11 -

Legal Update – Fraudulent Conveyance (FC) & W.R. Grace Bankruptcy

Outstanding success by achieving definitive agreement and confirming adequacy of accrued reserve

• • Released from FC claims and potential future W.R. Grace related exposure
  • •Indemnified against all W.R. Grace taxes
  • •Released from responsibility to handle W.R. Grace tax issues
  • • No admission of liability has been or will be made

Legal Update – Fraudulent Conveyance (FC) & W.R. Grace Bankruptcy

Fresenius Medical Care Global Position:

Achieved distinct market differentiation in both product and services

Vertical Integration

Products

• •Expanded network of plants and manufacturing capacity for both HD and PD in Europe, Asia, Latin America and North America
• • Introduced innovative new product technologies for machines and dialyzers

Patient Services

• • Expanded network of clinics worldwide
• • Introduced and rolled out UltraCare ™NR in North American clinics
• •Participate in North America new reimbursement paradigm

Financials 2002

• Key figures Q4 and FY 2002
• Update: Financing Activities
• Financial Outlook

Financial Highlights FY 2002

	A d t s r e p o r e	1 A d t s r e p o r e
\$ i l l i m o n s	F Y 0 2 '	F Y 0 1 '	% G t h r o w	% G t h r o w ta t c co ns n ur re nc y
N t e r e v e n u e s	0 8 4 5 ,	8 9 4 5 ,	5	6
E B I T	6 9 5	6 4 4	8	7
G d i l l d j t d o o w a u s e		7 6 5
E A T	3 0 2	2 4 5	2 3
G d i l l d j t d o o a s e w u		3 4 7
\$ S O ( ) E P d p e r r	3 1 2	2 3 5	2 3
G d i l l d j t d o o a s e w u		3 6 0

1 Excluding special charge of \$258m (\$177m net of taxes) and related expenses of \$7m in 2001 (\$4m, net of taxes)

Financial Highlights Q4 2002

	A t d s r e p o r e	1 A t d s r e p o r e
\$ i l l i m o n s	Q 4 0 2 '	Q 4 0 1 '	% G h t r o w	% G h t r o w ta t c co ns n ur re nc y
N t e r e e n e s v u	1 3 8 5 ,	1 2 0 7 ,	7	8
E B I T	1 8 4	1 5 2	2 1	1 8
G d i l l d j t d o o a s e w u		1 7 9
E A T	8 2	6 0	3 6
G d i l l d j t d o o w a u s e		8 5
\$ S O ( ) E P d p e r r	0 8 5	0 6 2	3 6
G d i l l d j t d o o w a u s e		0 8 8

1 Excluding special charge of \$258 million in 2001 (\$177 million, net of taxes)

Days Sales Outstanding (DSO)

Cash Flow FY 2002

\$ i i l l i n m o n s	0 2 F Y '	0 1 F Y '
N h i d d b t e c a s p r o e v y i i i i t t t o p e r a n g a c e s v	0 5 5	4 2 4
C i l d i ( ) t t t a p a e x p e n u r e n e	( 2 0 1 )	( 2 1 ) 5
C F h F l r e e a s o w	3 4 9	1 7 3
A i i i t c q u s o n s	( 8 0 )	( 2 1 ) 7
C f F h F l t i i t i r e e a s o a e r a c q s o n s w u	2 6 9	( 4 3 )

FY 2002 Cash Generation

% f i t t l n o o a r e e n e v u	2 0 0 1	2 0 0 2
C h f i t a s r o m o p e r a o n s	8 % 7	1 0 8 %
C ( ) i l d i t t t 1 a p a e p e n r e n e x u	% 5 2	% 3 9
F C h F l r e e a s o w	3 % 5	6 9 %
A i i i t c q u s o n s		\$ 8 0 m
D i i d d v e n		\$ 7 7 m
C f F F i l b l d b t d t i r e e a v a a e o r e r e u c o n		\$ 1 9 2 m

Dividend Proposal: 6th consecutive increase

1 Proposal of the Managing Board to the Supervisory Board for shareholder approval at the AGM on May 22, 2003

Acquisition Expenditure 2002

\$ i i l l i n m o n s		D 3 1 0 2 e c ,
E B I T D A		9 1 6
D b t e	S 3 0 2 0 0 2 t. e p : , 2 9 0 6 ,
C E + a p x	4 5
A i i i t + c q u s o n s	7
F f f t + e e c s x -	4 3
O t h e r s -	1 3
C h f O i t a s r o m p e r a o n s -	1 5 5	2 8 3 3 ,
T l d b / E B I T D A t t o a e		3 0 9

Senior Credit Agreement

• Closed: February 21, 2003
• Tranches: \$ 500 million revolving credit facility ;

\$ 500 million term loan A ;

- \$ 500 million term loan B for inst. Investors

+

+

Maturity: October 31, 2007 for the revolving credit facility and term loan A ; 7 years for term loan B

Amortization:

\$ 25 million per quarter for term loan A beginning in Q3 2004 ; 1% per year for term loan B

F i l Y 2 0 0 2 s c a e a r
	2 0 0 2 T t a r g e d i J l 2 0 0 2 a n n o u n c e n u y ,	F Y 2 0 0 2
( ) R t h t t e e n e g r o c o n s a n c r r e n c v u w u y	6 % ~	6 %
f E i 1 t t a r n n g s a e r a x	\$ 3 0 0 m ~	\$ 3 0 2 m
C E a p x	\$ 2 2 0 m ~	\$ 2 0 1 m
C F h F l r e e a s o w	\$ 2 0 0 > m	\$ 3 4 9 m
A i i i d i t c q u s o n s p e n n g	\$ 1 0 0 m ~	\$ 8 0 m
C f F h F l t i i t i r e e a s o a e r a c q s o n s w u	\$ 1 0 0 > m	\$ 2 6 9 m

1 before extraordinary charge of \$ 12 m after taxes for the early redemption of Trust Pref. Securities

Confirmed Financial Outlook 2003

Revenue growth (constant currency)

Earnings after tax low double digits1 growth

Capital Expenditure

Acquisition spending Mid single digit

High single /

~ \$220 m

< \$100 m

1 based on 2002 EAT before extraordinary item

Mid-term Financial Targets

-

Safe Harbor Statement

This presentation includes certain forward-looking statements. Actual results could differ materially from those included in the forward-looking statements due to various risk factors and uncertainties, including changes in business, economic competitive conditions, regulatory reforms, foreign exchange rate fluctuations, uncertainties in litigation or investigative proceedings, and the availability of financing. These and other risks and uncertainties are detailed in the Company's reports filed with Securities and Exchange Commission.

The World's Leading Renal Therapy Company