3M Confidential.1 12 June 2015. All Rights Reserved.© 3M

Innovation and R&D at 3M

Dr. Ashish Khandpur

Senior VP, R&D and CTO

May 19, 2015

© 3M 2014. All Rights Reserved2

3M TodayFive Market-Leading Businesses Groups

Safety & Graphics Health Care

Electronics & Energy

Consumer

Industrial

Sales: $31.8 B

Operating income: 22.4%

R&D investment $1.8 B

International sales $20.1 B

(63% of company total)

Companies in 72 countries

Sales in nearly 200 countries

~ 90,000 employees

200+ factories

55,000+ products

3,300+ patents issued in 2014

3M Innovation Story

3M Confidential.3 12 June 2015. All Rights Reserved.© 3M12 June 2015. All Rights Reserved.© 3M3

3M Confidential© 3M 2014. All Rights reserved

Culture of InnovationMcKnight Principles

"As our business grows, it becomes increasingly necessary to delegate

responsibility and to encourage men and women to exercise their initiative. This

requires considerable tolerance. Those men and women, to whom we delegate

authority and responsibility, if they are good people, are going to want to do their

jobs in their own way.

"Mistakes will be made. But if a person is essentially right, the mistakes he or she

makes are not as serious in the long run as the mistakes management will make if it

undertakes to tell those in authority exactly how they must do their jobs.

"Management that is destructively critical when mistakes are made kills initiative.

And it's essential that we have many people with initiative if we are to continue

to grow."

3M Confidential

Entrepreneurship & Collaboration

9000 technical employees around the world

Technical depth and breadth

Bring multiple technologies to each customer

Entrepreneurial culture

Individual initiative ~15% time

Legacy of boundaryless culture

© 3M 2014. All Rights reserved

3M Confidential

FsFiltration,

Separation, Purification

ImImaging

LmLight

Management

EcEnergy

Components

OpOpto-electronics

TtTrack and Trace

AcAcoustic Control

DiDisplay

MfMechanical

Fasteners

MdMedical Data Management

FeFlexible

Electronics

WoWound

Management

MiMicrobial Detection

and Control

DdDrug

Delivery

BiBiotech

APPLICATIONS

PrProcess Design &

Control

SeSensors

WeAccelerated Weathering

InInspection & Measurement

IsIntegrated Systems

& Design

FcFlexible Converting

& Packaging

AnAnalytical

AsApplication

Software

EsElectronics &

Software

CAPABILITIES

RpRadiation

Processing

SuSurface

Modification

VpVapor Processing

PePredictive Engineering

& Modeling

PmPolymer Processing

PpPrecision

Processing

MoMolding

MrMicro-replication

PdParticle & Dispersion

Processing

PROCESSING

FlFluoro-materials

NtNano-technology

AbAbrasives

AdAdhesives

AmAdvanced

Materials

DoDental &

Orthodontic Materials

FiFilms

NwNonwovenMaterials

PoPorous Materials &

Membranes

SmSpecialty Materials

CeCeramics

EmElectronic

Materials

CoAdvanced

Composite

MATERIALS

Technology platforms owned by 3M and leveraged by all

Corporately owned broad and deep expertise accelerates value creation

6

46 Technology

Platforms

85 laboratories

globally

50 Customer Technology Centers

around the world

3300+ patents issued

in 2013

100,000+ patents issued

© 3M 2014. All Rights reserved

3M Confidential

RadialSolar

Concentrator

Multi-focalIntraocular

Lens

Low-profileOverheadProjector

Microlenses

Stem WebTape

ControlTAC

SmartAdhesives

Micro Comply

Electrical Connectors

StructuredSurface

Filter ISOporous

StructuredSurface Sensor

Micro-channelcooling

FluidTransport

High FlowFilter

LinearSolar

Concentrator DayLighting

Scotchlite DGS Internally Lit Signs Light Pole

Lighted Guidance Tube Lighted Lane Marker

Lane MarkersFluorescent

DGSConspicuity

High-IntensityPrismatic

ProgrammedOptics for Signs

Wide AngleDGS

Trizact ™

Abrasives Perfect-It™Finishing Compound

Perfect-It™Abrasives

PrismReflectivity

Cube CornerDiamond

GradeSheeting

TrafficSignal

Cubitron ™ IIAbrasives

FlexiblePrismatic

Engineering-Grade

Prismatic

Prismatic License Plate

Headlight Restoration

System

GripletsFabric

Cubicle GripsCraft & Fabric

Fasteners

ReclosableFasteners

Control TAC Plus

1960 1970 1980 1990 2000 2010

Microreplication technology platform

BrightnessEnhancement

Film

LCDFilm

LED Light Mixing

Light Control

FLG

X-ray Scan Notched Fiber Large-Diameter Optical Fiber

Glare-freeOverheadProjector

Lens

TotalInternal

ReflectionOptical

LightingFilm

LensFilm

Overhead Projector Lens LENSES

ILLUMINATION

REFLECTIVE

MATERIALS

ABRASIVES

ADHESIVES

MATERIALS

ELECTRONICS

FASTENERS

FILM

© 3M 2014. All Rights reserved

3M Confidential

Two-tone cars were

in demand…

But a clean paint line was very

hard to achieve…

Which 3Mer Dick Drew observed

while visiting to sell sandpaper…

and he remembered some stuff he’d seen in the

laboratory…

3M’s First Customer Inspired Innovation

© 3M 2014. All Rights reserved

3M Confidential© 3M 2014. All Rights reserved

Expanding global relevance with a proven model for success

3M Innovation Story

3M Confidential.10 12 June 2015. All Rights Reserved.© 3M

3M’s Global Reach

Mexico

Brazil

Colombia

Venezuela

Argentina

Chile

Costa Rica

El Salvador

Panama

Ecuador

Peru

Uruguay

Guatemala Italy

France

UK

Turkey

Spain

Belgium

Netherlands

Portugal

Greece

Morocco

Canada

Jamaica

Dominican

Republic

Trinidad & Tobago

Sweden

Poland

Czech

Republic

Norway

Germany

Lithuania Latvia

Finland

Estonia

Switzerland Austria

Hungary Romania

Ukraine

Kazakhstan Russia

Japan

China

Taiwan

Vietnam

Thailand

Singapore

New Zealand

Indonesia

Hong Kong

Korea

Philippines

India

Israel

Egypt

Pakistan

Saudi Arabia Kenya

Australia

Malaysia

Sri Lanka

South Africa

Denmark

United States

Key

Sales & Marketing

Manufacturing/Converting

Technical Capabilities

Ireland

Nigeria

3M Gulf

Key

Sales & Marketing

Manufacturing/Converting

Technical Capabilities

72 Countries

85 Laboratories

50 CTCs

Just around the corner. All around the world.

11 3M Confidential

We are increasing the amount and focus of our R&D investment

R&D Intensity

R&D / Total Sales

5.6%5.5%

2014e 2017e

~6%

2012

Productive investment in disruptive technologies and product platforms

Extending Core

Platforms

Expanding Into New

Markets

Disrupting Markets

3M Confidential.12 12 June 2015. All Rights Reserved.© 3M3

Understand Sustainability Challenges

Facing Our Customers

Growth through sustainable solutionsBy Understanding World Sustainability Challenges

Apply a Sustainability Lens

with 3M Innovation

New Disruptive

Technologies

New and More Loyal

Customers

Increased Sales

Process and

Manufacturing

Improvements

Enhanced Brand

and Reputation

Engaged Employees

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1 0 000 0 Patents

3M Confidential

Turning Technology into Ingenious Solutions

Innovative

Technology

High-Performing

CultureGeographic

Reach

3M Customers

© 3M 2014. All Rights reserved