Data Storage Mission To build and enhance worldwide leadership position in branded removable data storage media solutions and applications, from desk-top to data center. Customer PC users at all levels of computing sophistication LAN/network administrators Data center managers Market Trends Move from commodity to semi-proprietary solutions Growth of high-capacity network and multi-user storage requirements, versus stand-alone desktop storage Increased storage requirements, driven by increasing image/color content and Internet/network applications Major Products LS-120 diskettes and 3.5-inch 1.44MB diskettes Travan™ data cartridges 3590 Black Watch™ half-inch data cartridges and other half-inch formats Magneto-optical cartridges CD/DVD replication services Solutions-Focus High-capacity, networked multi-media storage solutions (hardware / software / media / services) Leverage data storage expertise to meet needs of medical imaging and printing & publishing customers Worldwide service/support Leadership Michael Sheridan, Vice President, Data Storage Products (1996 sales $923 million), was with 3M for 25 years, serving in Europe and Japan. From May 1995 to July 1996, he was General Manager of 3M's Data Storage Diskette Technology Division. He has extensive technical experience in the 3M R&D organization.     Medical Imaging Mission Expand leadership position in hard copy recording and provide integrated imaging and information management solutions for medical diagnostics. Customer Hospital radiology departments Government National hospital groups Mobile imaging companies Imaging centers Market Trends Chemistry-free systems Standards-based electronic imaging software Digital image capture Electronic management of medical images Demand for environmentally friendly systems Major Products Electronic laser recording systems (hardware, film, interfaces and accessories) Conventional x-ray products Image management systems (software and storage media) Solutions-Focus Integrate DryView™ products with image management network solutions Leverage data storage expertise Worldwide service/support Leadership Clifford Pinder, Vice President, Medical Imaging and Photo Color Products (1996 sales $673 million), was with 3M for 23 years, where he served as Vice President of the 3M Medical Imaging Systems Division and of the 3M Photo Color Systems Division. He has extensive experience in business turnarounds and international experience in Europe and Latin America.     Customer Support Technology Mission Provide high quality, timely support, maintenance and optimization of Imation products and technology platforms. Customer Imation's worldwide service organization upholds 3M's legacy of unsurpassed service to Imation customers in more than 60 countries. Field service engineers provide on-site solutions and customer service personnel provide around-the-clock telephone assistance. Market Trends Transition to digital technologies and broad-based workflow solutions requiring greater focus on software and network service and support Major Products Global Field Services offers support with over 1,200 service engineers Global Support Centers provide 24-hour customer assistance through over 100 toll-free phone lines Global Parts Service Centers ensure timely and accurate delivery of service parts Solutions-Focus Integrated global support for imaging and information platforms, media, software and workflow environments to users of Imation products Leadership Will DeBoer, General Manager Customer Support Technology and Document Imaging (1996 sales $147 million), with over 20 years of laboratory, technical service and manufacturing leadership with 3M.

Printing & Publishing Mission To be the preferred supplier of innovative products, services and workflow solutions for high-quality color printing. Customer Publications Commercial printers Trade shops Ad agencies Ad/print specifiers Packaging market Market Trends Demand for total workflow integration and management Migration to digital workflow Increasing use of color Dry film/plates Time/cost reduction increasing as competitive differentiator Direct-to-plate printing Demand for environmentally friendly systems Major Products Digital color proofing systems (Rainbow™) Conventional color proofing systems (Matchprint™ , Color-Key™) Graphic arts plates (Viking™) Graphic arts film Carbonless paper Workflow automation (Luminous) and data communication software Solutions-Focus Leverage color science, color management expertise across conventional and digital workflows Leverage plate technology to develop more efficient solutions Leverage dry film from medical imaging Leverage data storage expertise Worldwide service/support Leadership Chuck Oesterlein, Vice President, Printing & Publishing Systems (1996 sales $530 million), has initiated strategic repositioning, aggressive investment in new product platform, and aggressive rationalization of the product mix in printing and publishing. He was with 3M for 31 years, where he held management positions in data storage, and in consumer and professional video.     Photo Color Mission Maintain position as the leading supplier of color print film to private-label retailers. Customer Mass-market discounters Chain drug stores Grocery store chains Mail-order photo finishers Market Trends New, user-friendly film format (APS) Growing digital management of photographic images Major Products 35mm color print films Single-use cameras Photo quality paper for color inkjet printers Solutions-Focus Global focus on the private label market segment Leadership Clifford Pinder, Vice President, Medical Imaging and Photo Color Products     Document Imaging Mission Maintain contribution of mature business. Customer Large, diverse end-user base including manufacturers, engineering firms and government organizations requiring records retention, design document and industrial imaging back-up. Market Trends Ongoing transition to digital/electronic document storage replacing traditional paper/film processes Major Products Turn-key systems to meet office and engineering document management needs Continuous tone and high-contrast black-and-white dry photographic papers and films Solutions-Focus Maintain product quality and customer loyalty, while managing business for maximum efficiency Leadership Will DeBoer, General Manager Customer Support Technology and Document Imaging       Imation Timeline Oct 1995 First DryView unit shipped Nov 1995 3M announces spin-off of its data storage and imaging operations (called "NewCo") Dec 1995 William T. Monahan named CEO Jan 1996 Worldwide HQ site selected in Oakdale, MN Apr 1996 Imation name announced May 1996 Worldwide HQ moved to Oakdale, MN May 1996 $150 million economic profit improvement goal by 1998 announced Jun 1996 3M Board approves spin-off Jun 1996 Travan-5 specifications for 10GB capacity announced Jul 1996 Imation launched worldwide as independent company Jul 1996 Imation announces Board of Directors Jul 1996 Imation stock debuts on NYSE (IMN) Jul 1996 LS-120 standard in selected Compaq PCs Aug 1996 Imation announces acquisition of Luminous Corporation Sep 1996 Dry film imagesetter alliances announced with Scitex, ECRM and Ultre Sep 1996 Rainbow 4700 proofing system announced. Oct 1996 First U.S. patent issued in Imation's name for Travan technology Oct 1996 Imation announces DVD replication services Oct 1996 Imation Scotch System 800 single-use camera announced Oct 1996 Q3 results show first revenue growth in 11 quarters--1500 DryView units placed Nov 1996 OR Technology announces slim-line LS-120 drive for notebook computers Nov 1996 LS-120 receives BIOS support from leading suppliers Nov 1996 Imation announces strategic exit of polyester printing plates Nov 1996 Introduction of DryView 8300 desktop model Jan 1997 Multi-million dollar LS-120 global ad campaign launched Jan 1997 MKE and Mitsubishi announce 1 million drive per month capacity for LS-120 by mid-year Jan 1997 1800 DryView units placed Feb 1997 Q4 has strongest sales growth in over three years--$65 million improvement in economic profit in 1996 Feb 1997 Authorization for share repurchase announced Feb 1997 Siemens and Fujitsu ICL announce European support for LS-120 Feb 1997 Discovery Technology Center, which will house 800 Imation scientists, announced