3M Company at Bank of America Merrill Lynch Global Industrials & EU Autos Conference 2015

© 2015 3M. All Rights Reserved.
March 17, 2015
H.C. Shin
Executive Vice President, International Operations

2 © 2015 3M. All Rights Reserved.BofAML Global Industrials & EU Autos Conference 2015
Forward Looking Statements
This presentation contains forward-looking information about 3M's financial results and estimates and business prospects that involve
substantial risks and uncertainties. You can identify these statements by the use of words such as "anticipate," "estimate,” "expect,"
"project," "intend," "plan," "believe," "will," "target," "forecast" and other words and terms of similar meaning in connection with any
discussion of future operating or financial performance or business plans or prospects. Among the factors that could cause actual results
to differ materially are the following: (1) worldwide economic and capital markets conditions and other factors beyond 3M's control,
including natural and other disasters affecting the operations of 3M or its customers and suppliers; (2) 3M's credit ratings and its cost of
capital; (3) competitive conditions and customer preferences; (4) foreign currency exchange rates and fluctuations in those rates; (5) the
timing and market acceptance of new product offerings; (6) the availability and cost of purchased components, compounds, raw
materials and energy (including oil and natural gas and their derivatives) due to shortages, increased demand or supply interruptions
(including those caused by natural and other disasters and other events); (7) the impact of acquisitions, strategic alliances, divestitures,
and other unusual events resulting from portfolio management actions and other evolving business strategies, and possible
organizational restructuring; (8) generating fewer productivity improvements than estimated; (9) unanticipated problems or delays with
the phased implementation of a global enterprise resource planning (ERP) system, or security breaches and other disruptions to 3M's
information technology infrastructure; and (10) legal proceedings, including significant developments that could occur in the legal and
regulatory proceedings described in the Company's Annual Report on Form 10-K for the year ended December 31, 2014. Changes in
such assumptions or factors could produce significantly different results. A further description of these factors is located in the Annual
Report under “Cautionary Note Concerning Factors That May Affect Future Results” and “Risk Factors” in Part I, Items 1 and 1A. The
information contained in this presentation is as of the date indicated. The Company assumes no obligation to update any forward-looking
statements contained in this presentation as a result of new information or future events or developments.

Content
• 3M Overview
• 3M International Operations Overview
• Execution Roadmap Through Our Levers
• Q&A/Discussion

Executing our playbook to create value for customers and shareholders
Investing in Innovation
Portfolio Management
Business Transformation

Free Cash Flow
Conversion
~100%
ROIC
~20%
Organic
Revenue Growth
4-6%
EPS Growth
9-11%
We are tracking toward the objectives we established in 2012
(2013 – 2017)
Aggressive and realistic targets

Solid performance continues across each of our Business Groups
2014 results
Industrial
$11.0B
4.9% Organic Growth
21.7% OI
Health Care
$5.6B
5.8% Organic Growth
30.9% OI
Consumer
$4.5B
3.9% Organic Growth
22.0% OI
Safety & Graphics
$5.7B
5.4% Organic Growth
22.6% OI
Electronics & Energy
$5.6B
5.2% Organic Growth
19.9% OI
$31.8B
4.9% Organic Growth
22.4% OI
Note: Business Group sales include dual credit

Leveraging and building our fundamental strengths
Leveraging these assets creates value; strengthening them ensures our future

 Strong financial results
 GAAP EPS of $7.49, up 11.5% year-on-year
 Organic local-currency sales growth +4.9%
 Operating margins of 22.4%, up 0.8 percentage
points year-on-year
 Free cash flow conversion of 104%
 ROIC of 22%
 Investing in the business: capital expenditures $1.5 billion, R&D $1.8 billion, acquisitions
$1.0 billion
 Significant progress on our three key levers: portfolio management, investing in innovation,
business transformation
 Returned $7.9 billion to shareholders via dividends and gross share repurchases
A solid 2014 full-year performance
Refer to 3M’s January 27, 2015 press release for full details.

$10.9
$0
$5
$10
$15
$20
$25
2013-14 Prior 2013-17e
Range
New 2013-17e
Range
Gross Share Repurchases
$20 to $22$17 to $22
$2.36 $2.54
$3.42
$4.10
0%
10%
20%
30%
40%
50%
60%
$0.00
$1.00
$2.00
$3.00
$4.00
$5.00
$6.00
2012 2013 2014 2015e
Dividends
Dividends Paid Per Share ($) Payout Ratio (%)
Increasing cash returns to shareholders
 2015e cash dividend of ~$2.6B, an all-time record
 2015 dividend marks 57th consecutive year of annual increases
 Paid dividends without interruption for 98 years
 Baseline assumption: future increases to grow in-line with
earnings over time
Building on long-term track record of returning significant cash to shareholders
+7% +8%
+35%
Note: 2015e reflects the annualized Q1 2015 dividend increase of 20% to $1.025 per share vs.
$0.855 per share in Q1 2014
$15B
to
$7.5B
 Share repurchases of $5.2B and $5.7B in 2013 and 2014,
respectively
 Share repurchase program will add approximately 3% to earnings
over 2013-17 plan
 Disciplined approach: minimum repurchase threshold; adjust up or
down depending on evolving cash sources and uses and relative
value
($B)
+20%

Content
• 3M Overview
• Q&A/Discussion

Asia Pacific
3M International Operations: Strong and sustainable growth platform
3%
17%
3%
20%
2%
8%
Asia
Central
East
Europe
Latin
America
West
Europe
Canada
Middle
East &
Africa
International Operations in 2014
 $20B in sales
 23% operating income to sales
 70 countries
 54,000+ employees
 127 plant sites
 35 country laboratories
 4,000 R&D headcount
Distribution of 3M Worldwide Sales
10%
Greater
China
37%
United
States
Thriving in a dynamic global environment

2009 2014 2017e
$7
46%
$11
55%
55%-60%
$8
54%
$9
45%
40% - 45% International Developed
Markets
International Developing
Markets
2009
Total sales
(in $B)
$15 $20 $23-25
Track record of profitable growth
5% Organic local
currency 5Y CAGR
International sales, excluding US ($B)
6% Organic local
currency 3Y CAGR

International playbook to succeed in a dynamic, ever-changing global environment
Growth and
productivity
focus
Balance sheet
management
Culture of
compliance
Scenario
planning
Structured
pricing
management
Price of oil Dollar appreciation
Geopolitics Deceleration CHK &
some developing economies

Content
• 3M Overview
• Q&A/Discussion

Key levers will drive value creation going forward
Investing in Innovation Business TransformationPortfolio Management
These levers, combined with more aggressive capital deployment, will drive enhanced value creation

Portfolio Management roadmap
Portfolio actions continue to create value
 Continue portfolio management deployment
across the corporation
 Reallocate resources to 3M’s best opportunities
 Augment organic growth through M&A playbook
Portfolio Management

We have a stronger portfolio of businesses today than when we started
RelativeStrategicAttractiveness
Relative Shareholder Attractiveness
Strategic Review
Heartland
Push Forward

2014 2017e
55% 55-60%
45% 40-45%
Developing Developed
Geographic portfolio: playbook to win in both developed and developing markets
Developed market local megatrends
International Sales Mix
9%
3%
3 YR CAGR %
Energy efficiency TechnologiesSustainability Aging population
Developing market local megatrends
Air quality InfrastructureWater quality Food safety Middle class
consumer

Investing in Innovation roadmap
Increasing customer relevance through innovation
 Enhance commercialization effectiveness
through customer insights
 Increase R&D investment and productivity
 Build new platforms for growth by extending the
core and investing in disruptive technologies

46 technology platforms: A shared innovation engine that all businesses leverage

We are increasing the amount and focus of our worldwide R&D investment
R&D Intensity
R&D / Total Sales
5.6%
5.5%
2014 2017e
~6%
2012
Productive investment in disruptive technologies and product platforms
Extending Core Platforms
Expanding Into New
Markets
Disrupting Markets

2014 2017e
$4.3 $4.8-5.3
$2.9
$4.0-4.5
New product modifications New products for new/existing markets
Investing in Innovation – driving faster and effective commercialization
Focused Actions
46 Customer Technical Centers
Corporate research laboratories
strengthening in China, Germany and Japan
Customer insights for local mega trends
•Air quality
•Water quality
•Food safety
14%
3Y
CAGR
5% 3Y
CAGR
International new product sales in $B

Air quality problem in China offers a huge opportunity
A multi hundred million dollar opportunity

Japan
Earthquake resistant materials
China
Water quality
West Europe
Smart city solutions
Converting local megatrend to commercialization
Drinking water system On line water dispenser
3M Damper
Building
damper
Housing
damper
Structural
analysis
Latin America
Ferreteria
Saudi Arabia
Oil and gas
Glass bubbles for well stimulation
Category management Specific packaging

Business Transformation roadmap
Business Transformation creating value for customers and shareholders
 Realize benefits gained through ERP deployments
 Deliver productivity through enhanced supply
chain and manufacturing capabilities
 Increase service levels to customers and reduce
cost to serve
Business Transformation

Ensuring success through a regional ERP roll-out plan
Key Components
 Europe deployment underway and accelerated to
capture greater value. . .sooner
 U.S. deployment to follow Europe
 Total project investment of $1.1 to $1.2 billion
 Improved customer service levels and reduced
time to market for new products
 Lower cost of goods sold, inventory and effective
tax rate
 Estimating annual worldwide operational savings
in range of $0.5B to $0.7B by 2020
 Structural worldwide working capital improvement
of $0.5B by 2020
Full transparency across workstreams
and their interdependencies
Strong governance of critical path
activities to ensure success
Value of Business Transformation front
and center in our deployment plan
Becoming more effective and efficient in serving our customers globally

Improving productivity to invest for growth
Lean Six Sigma Excellence
Disruptive Cost-Out Innovation
Supply Chain Centers of Excellence
Improving our Manufacturing Costs
52.0%
52.1%
52.2%
52.3%
52.4%
52.5%
52.6%
52.7%
52.8%
2012
2013
2014
2015e
International cost of goods sold % to sales
0
50
100
150
200
250
300
350
400
2012 2013 2014 2015e
Focus on Lean Six Sigma Execution
Lean six sigma black belt headcount

Summary – 3M International Operations
3M International summary
 Strong & proven growth platform
 Strong operational excellence
 Large untapped local megatrend
opportunities
 Continuous investment in R&D and
commercialization
 Diverse global talent
Business
Transformation
Portfolio
Management
Investing in
Innovation
3 Key LeversCorporate strategies and value systems

Content
• 3M Overview
• Q&A/Discussion

Appendix
Refer to 3M's Form 8-K furnished on March 5, 2014 and 3M's Form 8-K filed on May 15, 2014 for a
discussion of the product move between business segments and other changes within business
segments that were effective in the first quarter of 2014. As discussed in 3M's second-quarter Form 10-Q
filed on July 31, 2014, 3M made changes within the Electronics and Energy business segment. 3M
combined three existing divisions into two new divisions, creating the Electronics Materials Solutions
Division and the Display Materials and Systems Division. In addition, in October 2014, 3M merged its
Personal Care Division into the Industrial Adhesives and Tapes Division. This presentation reflects the
impact of these changes for all periods presented.

Industrial
With Leading Market Positions In:
― Industrial abrasives
― Auto body repair solutions
― Car care DIY
― Structural adhesives and tapes
― Filtration and purification systems
― Specialty additives
― Tapes and fasteners for personal hygiene products
Adhesives &
Tapes
38%
Abrasives
14%
Advanced
Mat'ls
12%
Filtration
6%
Aerospace
3%
Transportation
27%
U.S.
38%
EMEA
25%
APAC
26%
LAC
11%
2014 Sales By Business
2014 Sales By Geography
($M) 2012 2013 2014 CAGR
Sales $10,008 $10,657 $10,990 5%
GAAP Operating Income $2,244 $2,307 $2,389 3%
GAAP Operating Margin 22.4% 21.6% 21.7%

Safety & Graphics
Personal
Safety
42%
Traffic Safety &
Security
27%
Commercial
Solutions
26%
Roofing
granules
5%
U.S.
36%
EMEA
27%
APAC
22%
LAC
15%
― Respiratory, hearing and eye protection solutions
― Reflective signage for highway and construction safety and license plates
― Premium large format graphic films for advertising and fleet signage
― Roofing granules for asphalt shingles
― Personal identification issuance and authentication products
― Building safety solutions
― Architectural design solutions for surfaces and lighting applications
($M) 2012 2013 2014 CAGR
Sales $5,406 $5,584 $5,732 3%

U.S.
17%
EMEA
12%
APAC
64%
LAC
7%
Display Matls
& Systems
38%
Electronics
Matls
Solutions
24%
Electrical
Markets
23%
Telecom
8%
Renewable
Energy
7%
Electronics & Energy
― Optically clear adhesives, Novec™ fluorochemicals, transport solutions and flexible
circuits for electronic components
― Light management films that enhance brightness and provide energy efficiency in
liquid crystal displays (LCD)
― Electrical vinyl rubber and mastic tapes
― Medium voltage cable accessories, OEM insulation tapes
― Telecommunications copper splicing
― Fiber splicing/connectivity
($M) 2012 2013 2014 CAGR
Sales $5,458 $5,393 $5,604 1%
GAAP Operating Income $1,026 $954 $1,115 4%

Health Care
Infection
Prevention
29%
Critical &
Chronic Care
22%
Oral Care
24%
Health Info
Sys
12%
Drug Delivery
9%
Food Safety
4%
U.S.
45%
EMEA
29%
APAC
16%
LAC
10%
― Skin and wound care (transparent IV dressings and tapes)
― Infection prevention (auscultation, specialty drapes and surgical clippers)
― Patient warming solutions
― Oral care solutions
― Coding and reimbursement software
― Drug delivery (inhalation systems)
― Food safety indicator solutions
($M) 2012 2013 2014 CAGR
Sales $5,138 $5,334 $5,572 4%

Consumer
U.S.
57%
EMEA
14%
APAC
18%
LAC
11%
DIY
36%
Stationery &
Office
32%
Home Care
23%
Consumer
Health Care
9%
― Consumer tapes
― Repositionable notes
― Home air filtration
― Cleaning products for the home
― Consumer bandages braces and supports
― Retail abrasives
($M) 2012 2013 2014 CAGR
Sales $4,386 $4,435 $4,523 2%
GAAP Operating Income $943 $945 $995 3%

3M Company at Bank of America Merrill Lynch Global Industrials & EU Autos Conference 2015

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