2013/06 - JP Morgan HC

J.P. Morgan European Healthcare Conference Fabrice Baschiera, General Manager, Commercial Operations,

Greater China

London, June 24, 2013

2

Forward Looking Statements

This presentation contains forward-looking statements as defined in the Private Securities Litigation Reform Act of

1995, as amended. Forward-looking statements are statements that are not historical facts. These statements include

projections and estimates and their underlying assumptions, statements regarding plans, objectives, intentions and

expectations with respect to future financial results, events, operations, services, product development and potential,

and statements regarding future performance. Forward-looking statements are generally identified by the words

"expects", "anticipates", "believes", "intends", "estimates", "plans" and similar expressions. Although Sanofi's

management believes that the expectations reflected in such forward-looking statements are reasonable, investors are

cautioned that forward-looking information and statements are subject to various risks and uncertainties, many of which

are difficult to predict and generally beyond the control of Sanofi, that could cause actual results and developments to

differ materially from those expressed in, or implied or projected by, the forward-looking information and statements.

These risks and uncertainties include among other things, the uncertainties inherent in research and development,

future clinical data and analysis, including post marketing, decisions by regulatory authorities, such as the FDA or the

EMA, regarding whether and when to approve any drug, device or biological application that may be filed for any such

product candidates as well as their decisions regarding labeling and other matters that could affect the availability or

commercial potential of such product candidates, the absence of guarantee that the product candidates if approved will

be commercially successful, the future approval and commercial success of therapeutic alternatives, the Group's ability

to benefit from external growth opportunities, trends in exchange rates and prevailing interest rates, the impact of cost

containment policies and subsequent changes thereto, the average number of shares outstanding as well as those

discussed or identified in the public filings with the SEC and the AMF made by Sanofi, including those listed under

"Risk Factors" and "Cautionary Statement Regarding Forward-Looking Statements" in Sanofi's annual report on Form

20-F for the year ended December 31, 2012. Other than as required by applicable law, Sanofi does not undertake any

obligation to update or revise any forward-looking information or statements.

Agenda

3

Emerging Markets at Sanofi

Sanofi – A leading presence in China

Addressing the healthcare needs in China

Focus on diabetes

Conclusion

Growth Platforms Grew by +9.9%(1) in 2012

and Constitute Long Life Assets to Drive Future Growth

4

(1) Sales of Growth Platforms were up +7.8% in 2012 with Genzyme pro forma. Genzyme products were not consolidated in Q1 2011

(2) World less North America (USA, Canada), Western Europe (France, Germany, UK, Italy, Spain, Greece, Cyprus, Malta, Belgium, Luxembourg,

Portugal, Holland, Austria, Switzerland, Sweden, Ireland, Finland, Norway, Iceland, Denmark), Japan, Australia and New Zealand;

Emerging Markets sales were up +7.2% in 2012 with Genzyme pro forma. Genzyme products were not consolidated in Q1 2011

(3) Genzyme perimeter includes Rare Diseases and Multiple Sclerosis franchises

(4) Growth is at constant exchange rates and at comparable perimeter - Genzyme sales were not consolidated in Q1 2011

(5) Includes new product launches which do not belong to the other Growth Platforms listed above: Multaq®, Jevtana®, Mozobil® and Zaltrap®

+16.7%

+5.7%

+9.9%

+3.1%

+16.9%

Other Innovative Products(4,5) €611m +10.5%

+8.3%

Vaccines €3,897m

Diabetes Solutions €5,782m

Consumer Healthcare €3,008m

Animal Health €2,179m

Emerging Markets(2) €11,145m

Genzyme(3,4) €1,785m

2012 growth at CER

Sanofi Benefited from its Broad Geographic Presence

in Emerging Markets in 2012

31.9%

31.1%

23.9%

13.1%

5

(1)

+11.3% +10.1% +2.1% +10.2% Growth

at CER

● Double-digit sales performance in LatAm, Asia and Africa/Middle East

● Eastern Europe growing at a much lower pace given lower GDP growth

● €1bn sales milestone achieved in both Africa and the Middle East

Emerging Markets Sales Split (€m)


Portugal, Holland, Austria, Switzerland, Sweden, Ireland, Finland, Norway, Iceland, Denmark), Japan, Australia and New Zealand

6

Sanofi Remained the #1 Healthcare Company

in Emerging Markets in 2012(1)

(1) Year 2012; IMS MAT Q4 2012


Portugal, Holland, Austria, Switzerland, Sweden, Ireland, Finland, Norway, Iceland, Denmark), Japan, Australia and New Zealand

+14.3%

+9.1%

2012

€11,145m

2011 2010 2009 2008 2007 2006 2005

€5,037m

Emerging Markets Sales (€m)

● Another record year in Emerging Markets(2) in 2012

● Strong sales in BRIC of €3,896m up +12.0% at CER (35.0% of EM sales)

Sanofi Sales in EM (m €)

China: A Growing Contributor to Sanofi’s Leadership

Position in Emerging Markets

7

€11,145m

€6,540m

8% 9% 10% 12% 13%

Greater China as a % of EM sales(1)

Other Emerging Countries

(1) Greater China: Mainland China, Hong Kong, Taiwan

(2) Mainland China

2012 2011 2010 2009 2008

Sanofi Sales in China(2) (m €)

€1,249m

€347m

Sanofi Sales in China(2)

2012 2011 2010 2009 2008

+38% +14%

Agenda

8


Sanofi – A Leading Presence in China


Focus on diabetes

Conclusion

9

Sanofi Is Progressively Developing its Key Growth

Platforms in China

4%

Animal Health

11%

64% CHC

7%

Breakdown of Sales in China(1) by Business

Total Sales €1,249m

Diabetes

Pharmaceuticals

72%

Vaccines

22%

6%

2007 2012

Total Sales €273m

(1) Mainland China 9

ASTRAZENECA

BAYER

PFIZER

JS.YANGZIJIANG FTY

ROCHE

SINO-SWED

JS.L.Y.G.HENGRUI

HLJ.HAERBIN PHARM.

NOVARTIS

2007(1)

1

2

3

4

5

6

7

8

9

10

Source data: IMS, ranked by sales value in local currency, RMB.

(1) IMS CHPA MAT December 2007 .

(2) IMS CHPA MAT December 2009

(3) IMS CHPA MAT March 2013

Sanofi Has Moved Up to the #3 Position in China

1

2

3

4

5

6

7

8

9

10

PFIZER

ASTRAZENECA

BAYER

JS. YANGZIJIANG FTY

ROCHE

KE LUN

SHANDONG QILU FTY

JS.L.Y.G. HENGRUI

HLJ. HAERBIN PHARM.

2009(2) Q1 2013(3)

1

2

3

4

5

6

7

8

9

10

PFIZER

ASTRAZENECA

BAYER

SHANDONG QILU FTY

KE LUN

JS. YANGZIJIANG FTY

ROCHE

JS.L.Y.G. HENGRUI

NOVARTIS

10

Well Established in China with a Fully Integrated

Presence

● Present since 1982

● In 2013, 11 regional offices with

~7,000 employees in Greater China

● Of which >4,000 sales force

● Network of 6 manufacturing sites

● Regional R&D platform

Shanghai HQ

Hong Kong

Taipei

Tianjin

Hangzhou

Beijing

Shenyang

Guangzhou

Wuhan

Chengdu

Wulumuqi

Nanjing

Shenzhen

Sanofi’s Presence in China

Regional offices

Manufacturing site Pharmaceuticals

Greater China offices

Tangshan

Manufacturing site Consumer Healthcare

Manufacturing site Animal Health (Merial)

Manufacturing site Vaccines

Nanchang

Jinan

11

Human Vaccines

Animal Health

A Large Portfolio of Flagship Brands Across our Growth

Platforms that Fits the Local Needs in China

Diabetes Solutions

12

Oncology

Other Rx

Cardiovascular

1. Cancer

2. Heart disease

3. Cerebro-vascular

diseases

4. Respiratory

System

5. Injury/Poisoning

6. Metabolic/

Endocrine

diseases

7. Digestive

system

8. CNS

9. Genitourinary

system

10. Infectious

diseases

Top 10 Causes of

Death in China(1)

(1) China’s Health Statistics Yearbook 2012, Ministry of Health (Urban population)

Consumer Healthcare

Agenda

13




Focus on diabetes

Conclusion

● >90 million diabetic patients(1)

● ~200 million hypertension patients(2)

● Cause of death by non-communicable diseases total to 83%(3)

● ~ 9% of population >65 years old in 2011(4)

● People age ≥60 expected to rise to ~25% of total population by 2030(5)

● 800 million people expected to be part of urban population in 2020(6)

● ~45% of total population with annual household income >$10K in 2015(7)

Ageing population

Growing incidence of

chronic diseases

Urbanization and increasing middle

class

● ~95% of population covered by public health insurance system

● Objective of universal healthcare coverage by 2020

● 5,000 township clinics and 2,000 county hospitals built for the rural market

Healthcare Reform(8)

Socio-Economic Indicators Point Towards the Continued

Strong Demand for Healthcare Solutions in China

14

(1) International Diabetes Foundation, Yang et al,,2010

(2) Ministry of Health; Yearly report on Cardiovascular Disease in China, 2007

(3) WHO, 2009

(4) National Bureau of Statistics in China, 2012

(5) ‘China 2030’; The World Bank and the Development Research Center of the State Council, P.R. China, 2012

(6) China National Population and Family Planning Commission, China population development report, 2011

(7) China 12th Five Year Plan; internal analysis

(8) Plan of Reform of Medical and Healthcare system 2009-2011; Ministry of Health

15

(1) Health care expenditure reflects the total expenditure on medical and health care services, which includes government expenditure,

social expenditure and individual out-of-pocket expenditure.

(2) WHO : ‘Total expenditure on health as % of Gross National Product’ (GDP); 2011: U.S. = 17.9%; Germany = 11.1%; Brazil = 8.9%

(3) Source: China National Bureau of Statistics, Ministry of Finance

The Healthcare Reform Activities in China Have

Created Opportunities…

Fast growing Health Care Expenditure

but still relatively low as a % of GDP(1, 2, 3)

HC expenditure as % of GDP 2011

Significant Incremental

Healthcare Investment(3)

Original plan 2,000

1,500

1,000

500

0 2009

2005 2001 1997

RMB bn

850 RMB bn

Updated report 1,134 RMB bn

Investment into COUNTY

healthcare system, both

infrastructure and insurance

1,754

2009-2011:

8.9%

11.1%

17.9%

5.2%

2,500

2011

http://www.theodora.com/maps/brazil_map.html

http://www.crwflags.com/fotw/images/d/de.gif

http://www.crwflags.com/fotw/images/u/us.gif

http://www.theodora.com/maps/brazil_map.html

…as well as Challenges and Sustained Pricing Pressure

Multiple rounds of price cuts by NDRC(1)

May 2007 260 drugs (excl. TCM(2)) 19%

162 anti-infective and cardiovascular drugs

21%

Nov 2010

Mar 2011

19% 176 drugs

128 drugs including hormone treatments, endocrine system and neurological disorder drugs

14% Sep 2011

Target Average %

of price cut

(1) China National Bureau of Statistics, Ministry of Finance, NDRC – National Development and Reform Commission, internal analysis

(2) TCM - Traditional Chinese Medicines

(3) EDL – Essential Drug List

(4) RDL – Reimbursement Drug List

May 2012

16

Time

53 digestive system and gastrointestinal drugs

17%

Oct 2012 95 hematology, oncology and immunology drugs

17%

Jan 2013 400 respiratory, antipyretic, analgesics and other specialty drugs

15%

Key reform trends in the healthcare

environment in China

Price management

● Ongoing pricing reform to reduce pricing levels

and to erode the price differential between off-

patent originator drugs and generics

Cost control

● Number of cost containment measurements

being piloted (e.g., Budget capping, DRGs), and

aims for nationwide expansion in 2014

Expansion of EDL(3) system

● Potential for EDL-RDL(4) tendering linkage

and/or stricter enforcement of policies that

mandate certain level of usage of EDL drugs

Provincial tender models

● New price-driven tender models ‘tested’ in key

provinces (e.g., Guangdong)

1

2

4

3

The Growth of China’s Pharmaceutical Market is

Expected to be around 17% over the Next 5 Years

17

16.7%

(1) IMS Health, Market Prognosis, April 2011. Rankings in CER

(2) IMS Health, Market Prognosis China 2013 – 2017 – Exchange rate 1 EUR = 8 RMB

(3) IMS Health, MAT Qtr. IV with forecasts 2013-2017

● China forecasted to represent ~40%

of worldwide Pharmaceutical market

growth over the period 2012-2017(3)

● Broad access to insurance scheme

● Market growth is propelled by

growing “middle class”

● Market growth is also driven by

increasing demand in smaller, less

developed cities and counties

China to become the 2nd

largest

Pharmaceutical market by 2015(1)

Pharmaceutical Market in China in €bn(2)

Superior Growth in the Hospital Market Outside of

China’s Major Cities(1)

18

Pharmaceutical Market by City Tier (%)(1)

CAGR ● Public healthcare investment

focused on the county market

● Lower-tier hospital drug market is

growing faster than in the top tier

cities(2)

● Lower-tier market provides growth

opportunities for Sanofi’s broad

product portfolio

● A large untapped market potential

in the ‘Rest of China’

(1) IMS Health, Market Prognosis China 2013-2017, excluding class J, K and V

(2) City tier is based on IMS internal metric system; Tier 1: Beijing, Shanghai, Guangzhou; Tier 2: Chengdu, Shenyang, Chongqing, Xian, Tianjin,

Nanjing, Hangzhou, Shenzhen, Jinan, Zhengzhou, Wuhan; Tier 3: Changzhou, Ningbo, Urumqi, Taiyuan, Harbin, Dalian, Qingdao; 3 Regions:

Pearl River Delta, Fuxiaquan, Suxi

Tongxiang First People’s Hospital(2)

● County – Tongxiang

● Population – ~1 million

● County hospital – Built in 2010

● Number of beds – 835

● Outpatient visits in 2012 – 917,400

Modern Healthcare Infrastructure is Driving Growth in

China’s County Hospital Market

19

(1) Defined as county-level cities or counties; including 32 provinces, autonomous regions and municipalities, excluding Hong Kong, Macao, and Taiwan

(2) Tongxiang First People’s hospital website; www.txdyyy.com

China’s ~2,000 Counties(1)

Population ~900 million

Opportunity

● Huge base

● Lower affordability

● Geographically broad

Example Tongxiang County in

Zhejiang Province

E.g.: Zhejiang Province, Tongxiang County

● A dedicated team of >200 sales

representatives

● Reaching out to >300 Counties in

9 Provinces

● Covering ~1000 Hospitals

● Portfolio approach to secure sales

force efficiency and profitability

● Significant incremental sales

already in year #1

Further expansion underway

Addressing the Medical Needs in China’s Counties with a

Dedicated Primary Care Business Unit

20

Expansion into several hundreds other

counties in key provinces

Primary Care Business Unit (PCBU)

Implemented in 2011

Agenda

21




Focus on diabetes

Conclusion

The Diabetes Epidemic is Expanding in China

People with diabetes 2010 26m 21m >90m 9m

Rate of diagnosis 73% 84% 32% 53%

Expected diabetes

population growth 2010-2015 14% 7% 9% 14%

Insulinized patients 2010 5.7m 5.2m 5.8m 1.4m

Expected insulinized

patients 2015 7.6m 6.0m 10.6m 1.6m

Key Epidemiology Facts

Source: IMS data and internal patient model 22

RMB million

Insulins:

CAGR 2008-2012 at + 24.8%

MAT Mar 2013, Growth +18.3%

Sales Value of Diabetes Therapy Segments

Source data : 1.IMS CHPA MAT Dec 2012

2. IMS CHPA MAT Mar 2013

GLP-1 share 0.60%

12,000

11,000

10,000

9,000

8,000

7,000

55%

45%

2011

9,882

52%

48%

2010

8,326

54%

46%

2009

6,768

11,757

49%

51%

2012

11,295

50%

50%

2008

5,231

56%

44%

2007

3,752

59%

41%

6,000

5,000

4,000

3,000

2,000

1,000

0

MAT Mar

2013

Insulins Are the Fastest Growing Segment in China -

Representing Already More than Half of the Total Market

23

Oral Anti-Diabetics (OADs):

CAGR 2008-2012 at + 17.8%


Total Market

CAGR 2008-2012 at +21.2%


RMB million

Analog:

CAGR 2008-2012 at + 48.7%

MAT Mar 2013 GR at +33.5%

Human:

CAGR 2008-2012 at + 9.6%

MAT Mar 2013 GR at +1.6%

Sales Value of Insulin Class

0

1,000

2,000

3,000

4,000

5,000

6,000

43%

57%

2011

4,719

50%

50%

2010

3,833

55%

45%

2009

3,057

2012

5,625

MAT Mar

2013

59%

41%

5,881

62%

38%

2008

2,318

72%

28%

2007

1,532

81%

19%

Insulin Analogs Already Account for 59% of Total Insulin

Sales in China

24 Source data : 1.IMS CHPA MAT Dec 2012

2. IMS CHPA MAT Mar 2013

Basal Drives Growth of the Insulin Market in China

25

China Insulin Market Breakdown by Type of Insulin(1) (Value)

2007(2) 2012(4)

(1) Market share in % and growth rates vs. prior year

(2) IMS CHPA Dec 2007



2009(3)

Basal

Short Acting

Premix

+60.4% +57.8%

+27.9%

+33.7% +27.3% +16.4%

Sanofi Has Moved Up the Ranks and is the Fastest

Growing MNC in the Chinese Diabetes Market(1)

(1) IMS CHPA 2007; MAT Mar 2013

RK CORP MS%

1

NOVO

NORDISK 34.1%

2 BHC 16.8%

3 ELI LILLY 5.7%

4 SERVIER 4.2%

5 BMS 3.9%

6 GSK 3.7%

7 SANOFI 3.5%

RK CORP MS%

1

NOVO

NORDISK 34.0%

2 BHC 13.6%

3 SANOFI 10.5%

4 ELI LILLY 6.8%

5 BMS 4.2%

6 HUADONG 3.3%

7 SERVIER 2.4%

2007 Q1 2013

● Sanofi Diabetes Business Unit

created in China in 2009

● Growth of Sanofi’s diabetes

franchise outpacing market

● +48%, 2008-2013 CAGR

● Launch of new products are

expected to further boost growth in

the coming years

● Ambition to become the leading

diabetes player in China

Companies in the Chinese Diabetes Market

Ranked by Market Share(1)

26

● Lantus® launched in China in 2004

● SoloStar® launched in 2009

● Reached 16.7% of total insulin market in China

in Q1 2013(2)

● Reimbursed in China's largest markets

● Shanghai (December 2010)

● Beijing (July 2011)

● Lantus® drives the paradigm shift in the

Chinese insulin market

● Shift from Premix to Basal

● Basal regimen included in Chinese

diabetes treatment guidelines

● Leading insulin in several big cities(3),

ahead of Novo Nordisk

● Low average daily dosing per patient

● ‘Biosimilar’ to Lantus® competing on the

market since 2005

27

Paradigm Shift Drives Strong Sales Evolution of Lantus®

in China

(1) IMS MAT 12/2009 – 12/2012

(2) IMS CHPA March 2013

(3) IMS CHPA MAT 03/13; Cities where Lantus is the #1 insulin include Guangzhou, Suxi, Nanjing, Chengdu, Xi’an, Dalian, Shenzhen, Changsha, Shijiazhuang, Guiyang

2012

2011 2010

2009

Lantus Sales in China(1) (m RMB)

33.2%

Expanding our Lantus® Options in China

● SoloSTAR® disposable pen

● Convenience option

● Lantus® available in China only in

SoloStar® until 2013

● Lantus® SoloSTAR® pen assembly

at Sanofi’s facility in Beijing

● Inaugurated in May 2012

● ClikSTAR® re-usable pen for

Lantus® cartridges

● Durable solution

● Differentiated price

● Registration approval in Q4 2012

● Launched in March 2013

Easy-to-use, Accurate and Affordable

28

AllStar™, the next step to further improve access to innovative, affordable devices

● Despite generic

competition, Amaryl® is

driving the growth of the

entire OAD(1) market in

China

● In March 2013, Amaryl®

has reached 6.8% of the

market share of the total

OAD market in China,

growing at 23.1%(2)

● Amaryl® is expected to

remain an important

growth driver in our

diabetes portfolio in China

Amaryl® is Gaining Market Share in Value and Volume

against Generics in the Oral Anti-Diabetic Market

29

Amaryl® Value Share in Glimepiride

Amaryl® Volume Share in Glimepiride

(1) OAD – Oral Anti-Diabetic

(2) IMS CHPA MAT March 2013

Generic

Amaryl®

Agenda

30




Focus on diabetes

Conclusion

Strategic Pillars for Sanofi’s Continued Leadership in the

Healthcare Market in China

Extend the Perimeter

Medicine Leadership

and Innovation

Expand the Offering

Example: Diabetes

In China’s Counties

In Consumer

Healthcare (CHC)

● Innovative products

● Primary Care BU dedicated to cover counties

● Established CHC business through two transactions

● Planned new product launches

1

2

3

DPP-4/Alogliptin(2)

(1) Lyxumia® is in-licensed from Zealand Pharma

(2) Takeda and Sanofi signed a co-promotion agreement to expand reach of diabetes treatment Alogliptin in China 31

(1)

Sanofi Is Poised to Sustain Significant Growth

in China

32

● Solid historical presence and fully-integrated structure

● Well-suited and broad portfolio to address China’s healthcare

needs (Rx, CHC, Vaccines, Diabetes, Animal Health, Genzyme)

● Significant investments in local production facilities serving all

Growth Platforms and accelerated investment in R&D

● Increasing access to new market segments at the county level

● Growing position in Diabetes by maximizing the value of the

entire portfolio

● Industry lead in talent attraction, development and retention

“We no longer look at China as an emerging market.

We view it as a core market.” Sanofi CEO Christopher A. Viehbacher

2013/06 - JP Morgan HC

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