Diversity

Baxter is committed to fair opportunity for all employees, and recognizes that every individual's unique background and experiences contribute to a successful organization.

Discrimination in hiring, promotion and all other employment decisions on the basis of race, color, religion, gender, national origin, age, disability, sexual orientation, veteran status or any other basis protected by federal, state or local laws is prohibited. Baxter's global operations comply with applicable laws and company business standards around the world.

The company encourages employees to report discrimination to a supervisor, human resources representative or any member of management so that Baxter can address the situation promptly. Baxter requires that U.S. manager-level employees and higher complete an online training course to ensure compliance with the company's workplace diversity and fair employment opportunity policies.

The following tables illustrate Baxter's ethnic and gender diversity at various levels in the company.

BOARD AND EXECUTIVE LEADERSHIP DIVERSITY
2002 2003 2004 2005 2006
ETHNIC (% non-white of total)
Board of Directors 10.0% 16.7% 9.1% 8.3% 8.3%
Executive Leadership1 16.7% 18.8% 7.7% 16.7% 13.3%
GENDER (% female of total)
Board of Directors 20.0% 16.7% 18.2% 16.7% 16.7%
Executive Leadership1 5.6% 6.3% 15.4% 25.0% 33.3%

1Executive Leadership figures include Operations Committee members and regional presidents. Prior years recalculated for consistency.

GENDER DIVERSITY AT BAXTER (% female globally)
2002 2003 2004 2005 2006
Vice President and Above 17.9% 20.1% 20.1% 19.6% 19.0%
Supervisor/Director 34.7% 37.2% 38.4% 38.2% 39.1%
Non-Manager 58.1% 57.6% 57.3% 57.0% 56.5%
TOTAL 54.9% 54.6% 54.6% 54.1% 53.7%

Enhanced Approach to Diversity

As part of Baxter's ongoing commitment to diversity, the company is enhancing its global inclusion strategy to ensure that differences of all kinds are embraced in the markets and communities Baxter serves, as well as in the company's workforce and workplace.

Part of this strategy is to ensure that Baxter has the policies and practices that drive a work environment where all employees are respected and valued, can interact freely, conduct business effectively and achieve results.