Ladies and gentlemen, thank you for standing by. And welcome to the Boston Scientific Q4, 2013 Earnings Conference Call. At this time all participants are in a listen-only mode. Later we will conduct a question-and-answer session and instructions will be given at that time. (Operator Instructions). As a reminder this conference is being recorded. I would now like to turn the conference over to our host, Susie Lisa. Please go ahead.

Thank you, Roxanne. Good morning, everyone. Thanks very much for joining us. With me on today's call are Mike Mahoney, President and Chief Executive Officer; and Dan Brennan, Executive Vice President and Chief Financial Officer. We issued a press release earlier this morning announcing our fourth quarter and full year results for 2013, which included reconciliations of non-GAAP measures used in the release. We have posted a copy of that release, as well as reconciliations of the non-GAAP measures used in today's call, to the Investor Relations section of our website under the heading, Financial Information. The duration of this morning's call will be approximately one hour. Mike will begin our prepared remarks with an update on our business progress and his perspectives on the quarter, the year and the outlook. Dan will then review our overall fourth quarter and full year 2013 financial results and then discuss goals for full year and first quarter of 2014. During today's Q&A session, Mike and Dan will be joined by our Chief Medical Officers, Dr. Keith Dawkins and Dr. Ken Stein. Before we begin I'd like to remind everyone that this call contains forward-looking statements within the meaning of federal securities laws, which may be identified by words like anticipate, expect, believe, estimate and other similar words. They include, among other things, statements about our growth and market share; new product approvals and launches; clinical trials; cost savings and growth opportunity; our cash flow and expected use; our financial performance, including sales, margins, earnings and other Q1 and full year 2014 guidance; as well as our tax rates, R&D spend and other expenses. Actual results may differ materially from those discussed in the forward-looking statements. Factors that may cause such differences include those described in the Risk Factors section of our most recent 10-K and subsequent 10-Qs and 8-Ks filed with the SEC. These statements speak only as of today's date and we disclaim any intentions or obligation to update them. At this point I'll turn it over to Mike for his comments. Mike?

Thank you, Susie. Good morning, everyone. I will begin today with some highlights regarding our fourth quarter and full year performance for 2013, and then provide some thoughts on our 2014 outlook. Dan will then review the financials and 2014 guidance and then we will take your questions from there. So please note that throughout the commentary all growth rates discussed are on constant currency basis and represent fourth quarter 2013 year-on-year growth unless otherwise specified. So overall fourth quarter was a very good quarter for Boston Scientific. We are pleased that we are delivering on our commitment and building momentum. In fourth quarter we exceeded our guidance and delivered 5% operational revenue growth. We also exceeded our EPS guidance in the fourth quarter delivering adjusted EPS of $0.21. We estimate that most of our business units grew faster than the market. For 2013 we committed to turnaround our performance and return to positive growth and we've achieved that goal early by posting 2% operational growth in second quarter and then improving upon that with a 4% growth rate in third quarter and now 5% in the fourth quarter. And throughout the year we returned cash to shareholders with $225 million worth of stock repurchased in fourth quarter and $500 million for the full year, or 43% on adjusted operating cash flow for the year. I will turn now to a few highlights from the fourth quarter and provide some commentary on 2014. Our MedSurg business, which now represents 33% of company sales are growing faster than the market and driving a balanced portfolio mix, led by impressive growth in neuromodulation, with continued above market growth in both our endoscopy, urology and women's health business. In endoscopy we had another strong quarter and we continued to grow faster than the…

Thanks Mike. Let me begin by providing some overall perspective on the quarter before getting into the details. We generated adjusted EPS of $0.21 compared to $0.18 in Q4 last year in our guidance range of $0.18 to $0.20. This improved profitability from the prior year was primarily driven by our operational revenue growth, continued gross margin expansion which was up 190 basis points year-over-year and a lower effective tax rate. This was partially offset by investments in our strategic growth initiatives and our core infrastructure, variable expenses associated with higher sales levels as well as a $0.01 impact from the medical device tax. In addition we generated operating cash flow of $268 million in the quarter and used over 80% of that to repurchase approximately 19 million additional shares in the quarter. While we’re pleased with our execution against goals particularly with respect to the return to operational revenue growth for the year and growth in Q4 against tougher year-over-year comps we believe we still have substantial future potential operating leverage. Now I will move to the more detailed review of our business performance and operating results in the quarter. For the fourth quarter of 2013 consolidated revenue of $1,838 million represented growth of 1% compared to the prior year on an as-reported basis. On operational basis which excludes the impact of foreign exchange and the divestiture of our Vascular business we grew revenue 5%. This 5% operational revenue growth includes approximately $15 million in revenue from the CR Bard electrophysiology business we acquired effective November 1st or approximately an 80 basis points contribution to growth. The actual headwind from foreign exchange on sales was approximately $42 million as compared to the previous year and was fairly consistent with the $40 million impact we assumed in our guidance range.…

Thanks, Dan. Roxanne let's open it up for questions through the next 20 to 25 minutes or so. In order to enable us to take as many questions as possible, please limit yourselves to one question and one quick related follow-up. Roxanne, please go ahead.

Certainly (Operator Instructions). The first question comes from the line of David Lewis with Morgan Stanley. Please go ahead.

Good morning.

Good morning.

Just two quick questions on S-ICD and CRM more broadly, one for Mike and one for Dan. So Mike obviously S-ICD is the key focus for us and investors here in 2014. I wonder could you characterize fourth quarter S-ICD traction in your commentary that you are above the low end of your expected range. So does this reflect your capacity, can you give us any color on 1Q trends and maybe quantify the 2014 outlook for S-ICD and then a quick follow-up for Dan?

Yes, absolutely. So in S-ICD we expanded our IV sites really in the fourth quarter here. So as we go into right now the first quarter of 2014 the full year we do not have limitations in supply for S-ICD at this point. So the operational improvement that are made we will focus on is physician training and insuring that we have the right, excellent outcomes with S-ICD. And so to this point we are delivering on expectations operationally. In terms of the results overall for CRM, we saw strong pacer results and we also strong de novo ICD results, the pull down continues to be with our CRT-D results which drove the -- which impacted some of the headwinds of our CRM results. But overall ICD have been strong, pacers have been strong, and we anticipate S-ICD to be a significant share taker for us for de novo ICD implants as we head in 2014. So we are not going to provide specific guidance as to the carve out of the S-ICD number at this point but we are comfortable with S-ICD in combination with the quad lead that we will be launching in Europe will drive share gains in CRM in 2014.

Okay. Thank you and then Dan, we were encouraged by margin outlook for the total corporation in 2014 but you did mention several times in the script here CRM margins being a specific focus for 2014. So can you in a sense of what type of progress can be made in the CRM margins in 2014 and/or what is the key drivers of margin expansion for the company in 2014?

Yeah, David. The Rhythm management profitability as Mike mentioned was essentially flat year-over-year driven mostly by the cost in Q4 which were what we believe one-time in nature and driven by launches and bringing S-ICD back to the market. So we would look to make considerable progress in 2014 on rhythm management margin and still remain committed that we get that up to the mid-20s by that 2017 timeframe and obviously it's a big piece of how we get to our 25 as an overall company. In terms of how we do that it's really just throughout the P&L. I mean as you look at these new product launches that we talked about with Quad and the Quad lead and CRT-D those are higher margins than some of the technologies that they are replacing. And that's the theme that will continue over the next few years with CRM as we launch new technologies that will be margin accretive, so that's one piece. We get operating leverage from increasing sales. So we plan to increase sales within CRM and that gives us the ability to drop through more relative to that sales increase. And then within SG&A and R&D it's continuing to optimize and drive the most efficient structure that we can. So we are a little disappointed that we stayed flat in 2013 but remain committed for the future increases for management profitability.

Thank you very much.

Our next question is from the line of Mike Weinstein with JPMorgan. Please go ahead.

Good morning, Mike. Michael N. Weinstein - JP Morgan Chase & Co.: Yeah. Can you hear me okay?

Yes we can. Michael N. Weinstein - JP Morgan Chase & Co: Okay, perfect thanks. Could you just spend a minute on margins. One was the sequential step down in gross margin line if there is anything unusual nature of that? And then secondly just want to make sure I understand your operating margin targets for 2014 relative to your long range plan? Thanks.

Sure so in terms of Q4 versus Q3 gross margin really the thing that impacted at the most was the transition related to inventory charges that we had. So we were at 70.7% gross margin in Q3, we were at 70% gross margin in Q4 and that's worth about 50 basis point in the step down from Q3 to Q4. Relative to the overall margins for us going forward from an operating margin standpoint, if you heard for 2014 we're looking at something approaching 20% from an operating margin and going forward we'll be in that 100 basis point plus range now through 2017 with increasing revenue new growth to really drop through more leverage and get to that goal or better by 2017. So we still remain committed to 2017 25% operating margin at this point. Michael N. Weinstein - JP Morgan Chase & Co: And then on the S-ICD re-launch here I think we're a bit surprised that we didn't see more initial progress in the U.S. business in the fourth quarter. And it's hard for us outside here to judge the supplier ramp over the course of the quarter. So as you are speaking about the first half of this year would you be surprised if you didn't show sequential share gains just based on having full availability at this point? And do you want to give guidance for ICDs for the first quarter which I think you didn't give for the first time? Thanks.

Yeah so we can be more enthusiastic about S-ICD and its ability to treat primary and secondary prevention patients and really the differentiation that we have with us so strategically we think it's very unique and powerful to be a CRM story. We do think we will gain de novo ICD implant share in the first half of the year. The CRT-D mix that we keep talking about is what's watering that down. So our de novo ICD share we believe has increased in fourth quarter and we believe that will continue to increase in the first half of 2014 driven by the strength of ICD and the S-ICD. The wane in the CRT-D is what's been dragging that piece down and which will be resolved in Europe and we'll start to explore quad CRT-D trial in the first half of 2014. Michael N. Weinstein - JP Morgan Chase & Co: So Mike in your internal modeling do you assume that between those pluses and minuses obviously S-ICD being a plus and then the CRT-D competiveness in replacement cycle being negative, do you view yourselves as share gainers in ICDs in 2014, total ICDs?

In total ICD we believe for the full year we should gain share. The second half should accelerate with the quad lead being ramped up in Europe. So for full year we believe we'll be a share taker. We believe we'll definitely be a share taker in that single chamber ICDs, so that's driven by S-ICD. Michael N. Weinstein - JP Morgan Chase & Co: Okay. Thanks, Mike. And then if I could ask one other question on the no guidance for ICDs.

And really the driver there is we believe now are much more diversified company, less reliance on one product line. So we're going to be much more reticent to provide franchise specific guidance at this point?

Okay. Next question?

Next question is from Bob Hopkins with Bank of America. Please go head.

Hi, Thanks for taking the question. I want to ask two things, one on the tax rate and again back on margins. So obviously the tax rate was a source of upside for this particular year and I think you got about the lowest tax rate of any company that I follow and so Dan I just want to get your sense stepping into the roles for the first time how sustainable kind of a 13% to 15% tax outlook is for the company in light of the fact that long-term some of the inter-company loans might fade straightaway. So how long you think you can enjoy this low of the tax rate and as we model longer term should we model some upward pressure?

I think what we have gone on record before saying it's 15% for 2014 and '15 based on some of the geographic mix that we're seeing. I think we're comfortable saying 13% to 15% or next year and 13% to 15% for 2015 as well. I would be reluctant to go further out than that at this point but I think we're very comfortable that we can have 13% to 15% for this year and next year as well.

Okay. That's helpful. And then on the margin front and I apologize if I have my numbers wrong here but it also looks like the cardiovascular segment margins in Q4 were down sequentially and I was wondering if you could just comment broadly on what you saw in terms of pricing across your franchises this quarter and any particulars on what drove the cardiovascular margin weakness this quarter if I got that numbers right?

Yes. We had a slight dip down in margins in our cardiovascular reporting segments there, a couple one is we are now preparing for the launch of our PREMIER platform, so we did a lot, quite a bit of stock in inventory to get PREMIER launch which we have fully launched in the first quarter of 2014. So a lot of inventory movement there prepared for that which we believe will be share gain for in DES in 2014. Also we have in terms of improvement areas International DES performance in fact our global performance in 2013 is not what we wanted to be. We did lose a little bit of share in Europe and we are off the market in Germany as well as Japan and our PREMIER approval was late, we just received it shortly after TCP. So with a challenging year overall for DES it was a very positive year for our IC other business segment with 7% and as a mix that IC other businesses is almost the same size as our DES business now. But going into ' 14 we expect the improvement in our margins in the cardiovascular segments given our preparation in inventory available now for both SYNERGY and PREMIER.

And anything going on with pricing that's noteworthy relative to recent trends?

Nothing significantly difference we like the positions just going forward in '14 we have a three tier strategy with our synergy prices to premium, in our PROMUS PREMIER and our Promus line. So we believe that will be able to hopefully improve the pricing impact that we observes the past few years but we call Canada a mid-single digit overall price headwind in DES.

Great. Thanks for taking the questions.

Thanks Bob.

The next question is Rick Wise with Stifel. Please go ahead. Frederick A. Wise - Stifel, Nicolaus & Co., Inc.: Hi. Good morning everybody. If I can follow up on a couple of product points Alair it sounds like you had a terrific quarter on a small base. Mike can you update us on where you are with insurance, you were still hoping to get some of the large insurers what's next and maybe if you could frame the growth and continued roll out a little bit there?

Yes on Alair we continue to make progress here we had higher reorder rates for the platform, the payers continued to reimburse although on a one-off basis and we also, as you know, had a five year data that was published in the second half of 2013. So we remain bullish about although I'll point out that we haven't had a major payer reimbursement platform. And so in 2014, we are going to through another cycle of this major payers to determine what they are going to reimburse the platform and we have appropriate guidance, appropriate projections built in for the platform and we continue to expect strong growth although it won't be breakthrough growth until we can knock down one of these payers and that's where our team's focused on in '14. Frederick A. Wise - Stifel, Nicolaus & Co., Inc.: Okay, and two quick follow ups on the S-ICD the supply ramp is clearly picking up base on our work. When are you at full launch there and maybe if you could also just quantify the impact of the OrbusNeich impact what kind of the drag in fourth quarter DES sales and I assume that's back now?

On the S-ICD this is not like a drug eluting stent, so we don't stock it and replace PREMIER like we would Promus with DES and move it to a 1000 labs in a few weeks. So this is a very controlled thoughtful platform launch that requires training for physicians and a proper amount of clinical work to support it. So it's not like DES launch. So S-ICD will continue to ramp, we moved the IDE centers, there is clearly a queue physicians that we are successfully training them right now and that queue is quite extensive and so there is lot of enthusiasm for it and we think it will grow it will be a share taker for us for our de novo ICD implants. And the awareness of the therapy continues to build and support that. And so we think this is really unique opportunity for us and we don't see ourselves being supply constrained, it's more of a constraint on training and effective rollout of the products. What was the second one? Yeah, the OrbusNeich, what the OrbusNeich in Europe did was basically limit us in terms of hitting the Q4 running relative to some of the tender cycles that will take place in Europe and such that’s why we called that out as kind of a bit of a challenge ramping up in Q4 but we think in 2014 we can put some of that behind us.

Drs. Stein, do you want to make any other comments on S-ICD roll out? Frederick A. Wise - Stifel, Nicolaus & Co., Inc.: Thank you.

Yeah I think I would just say to reiterate what you said Mike that we are not any longer capacity constrained the productions ramped up, now it’s really a matter of getting physicians through the training both in terms of how to select patients, how to screen patients as well as the implant technique that what we found that physician’s view of the roll of the device where it fits in and in particularly primary prevention patients really changes once it actually been exposed to the training and once they have one or two implants under their belt. Frederick A. Wise - Stifel, Nicolaus & Co., Inc.: Thank you.

Our next question is from Glenn Novarro with RBC Capital Markets. Please go ahead.

Hi, thanks. Just a follow-up on the subcutaneous ICD training. In the percutaneous valve market the companies have been giving us how many centers they think they can train per quarter per year. Is that something you can share with us in other words how many centers you are in today, how many centers you think you can train per quarter? I would imagine that that’s going to be a big driver of the revenue growth in 2014.

It’s Mike here. Today we haven’t. That’s certainly something we can consider going forward in 2014 but today we haven’t publically stated how many physicians we trained or how many centers going forward.

Okay let me ask just two quick follow-ups just on the stents side, the OUS number did come in where you highlighted Germany. Were there any other sources of weakness outside the U.S.?

For drug eluting stents yeah the weakness again Turkey wasn’t a great year for us in drug eluting stents. It was a very strong year in our other interventional cardiology business that grew 7%. So the weakness in DES really was Japan with some competitive product launches, Europe we were off the market in Germany for a significant part of the year and quite frankly in U.S. where we anticipated approvals of our PREMIER products early in the fourth quarter it didn't receive until just toward the very end of the year.

When does Japan reverse?

So in Japan in 2014 we launched PROMUS PREMIER pending approval in Japan we believe in the second half of the year. So we believe we will get back to share taking and a leadership position which we traditionally enjoyed in Japan as we move towards the back half of 2014. We do have a as it is competition pricing headwind in Japan this year for drug eluting stents as the pricing comes down but overall we believe we will get back to a share taking position in the second half in Japan and we should be in a share taking position in U.S. now as we move into the first quarter.

Great. And then just one quick one, the REPRISE U.S. trials for Lotus when in 2014 will that start first half, second half?

So we haven’t locked that in yet with the FDA but we’re projecting a second half of the year IV initiation.

Okay, great. Thank you.

Our next question comes from the line of Brooks West with Piper Jaffray. Please go ahead. Brooks West – Piper Jaffray: Good morning. Thanks for taking the question. Mike we’ve been much more focused on electrophysiology as a potential growth driver for your CRM franchise and I wonder if you would give us a little bit of color on where are you with the Bard EP integration and where are you with the Rhythmia launch and as we think about how that franchise within CRM kind of performs I imagine you are spending pretty heavily right now, is it fair to assume that as we see revenues ramp we’re also going to see operating margin contribution pretty significantly ramp in EP?

Absolutely, Dan touched on earlier -- thanks for the question first of all, the operating income margin of the Rhythm management group is clearly not what we want it to be and we have been purposely making investments in that business because we see the size of the market and the growth potential and we talked about it today with S-ICD, with WATCHMAN, with our quad and all the moves we made to your point in EP, with the acquisition of C.R. Bard, the acquisition of Rhythmia. So we really like the market profile of this. We don't like our current operating income margin. And as you indicated as we go through '14 here and we deliver consistent top line growth that will help because the business has suffered historically not growing. So we believe we'll grow the business, we'll see the reverse of the negative dilution of the acquisitions, the short-term negative dilution of Bard and the negative dilution of WATCHMAN and [Livya] Although those kind of acquisitions that have been dilutive will reverse themselves as we move through '14 and '15. If you combined that with improved gross margins of new products that we're lunching, new S-ICD will be launched, new quad, new platforms of our primary ICD and CRT-Ds will be launched with improved gross margins. So growing consistently the reversal of the dilution of these adjacencies and improved gross margins of new products and smarter SG&A spend will really contribute significant margin improvement and rhythm management which really is the backbone of the strategy for the overall corporation's improvement in operating income margin.

And I think it's important point Brooks as well that you bring up which is EPS is kind of sometimes forgotten as a piece of that rhythm management group but we're looking for that to contribute much more significantly to operating income going forward. Brooks West – Piper Jaffray: Thanks for that and then on neuro guys better than expected growth in Q4. Again I know there is a reimbursement change coming next year. Can you talk about how we should think about the growth of neuro franchise as you look at anniversary some of the really good performance this year?

Yeah so we haven't provided specific guidance but we grew over 30% for second half of 2013 and we've taken a clear leadership position and gained significant share in a market that's nicely profitable. So we really like the platform that we have and the capability advantages that we have and how we can extend that platform into other therapies that we're either in trial and/or considering. So we would anticipate that, that market, that growth is going to come down in 2014 given the comparables that we're going to have at the start of second quarter and also some of the pricing pressure. So we do believe that, that business would continue to grow faster than market and gain share but not at the levels of 30%. Brooks West – Piper Jaffray: Great, thanks guys.

We have a question from the line of Josh Jennings with Cowen & Company. Please go head. Josh T. Jennings - Cowen & Co., LLC: Hi, good morning thanks for taking the questions. I just want to start off with international drug-eluting stent question, just with that franchise and looking at the full European launch of SYNERGY it seemed to me there would be some meaningful opportunity there to improve on that performance. Can you just take us through again just what your strategy is there pricing as well as the opportunities that were available on the technology platform?

I'll make a few comments and I'll have a comments and then I will have Dr. Dawkins comment as well. So we've been -- we believe we've been disciplined in trying to come up with a new production tiered product portfolio to address what's historically been a challenging pricing market. So it's still a large business but in drug-eluting stents now we have a strategy where we have a, we believe a highly differentiated bio-absorbable stent with SYNERGY that we are pricing at a premium. We are launching that product in markets that will support a premium price so that's not the entire European market. Our strategy today has not been to drive that price down to workhorse level to try to gain short-term share at the cost of eroding a market. So we've been keeping that at a price premium because we think it's the best product and we're really launching that product in geographies that will support that price. The second product that we have is PREMIER which likely we'll have a greater mix in terms of overall mix of DES internationally. We believe that's the second best stent in the marketplace behind SYNERGY in terms of its ability to be a work horse stent and treat complex coronary arteries and we'll launch that product throughout Europe and essentially that's being done now. And then we have a couple of countries that are very, very price sensitive. And we have another brand just called Promus that will continue to sell in that those geographies. So that's the strategy. The fact that we were off the market in Germany which is the large market hurt us in '13, we'll get back in the market in '14 and we hope to use that strategy not only to gain share but to gain share thoughtfully while managing price effectively.

I would just add Josh that not only just do we want a premium for SYNERGY but we want to support the product with a very wide clinical trial portfolio. And you would have heard in Mike's comments earlier on the call that we have now almost 28,000 patients in both Boston Scientific Studies and investigator-sponsored Research. Exploring SYNERGY in complex coronary disease in a variety of other scenarios including short DAPT. So we want to underpin the launch not only from a premium price point of view but also with clinical data. As you know we have now have two year published data for the -- released EVOLVE study, we have completed the EVOLVE IDE trial and we in 2014 have already started a number of investigator sponsored trials which will give us additional data on the platform. With regards to your comments about bio-absorbable we are interested in the total bio-absorbable space synergy, you know we made an investment in a start-up Amaranth. We don't think the current availability VVS technology which has a sub 5% market share is a workhorse product. We think the stats are big, we think the delivery is in period and we think that the large polymer load lasts too long. And we will be working both internally and externally on a platform. But right now the focus is Synergy because the key performance is what cardiologists want and they want the polymer and the drug to disappear early and that's exactly what's in the… Josh T. Jennings - Cowen & Co., LLC: Great, and just a quick follow-up obviously from questions on the call here, its big focus on the subcutaneous ICD franchise. I was just hoping you could maybe give us some insight into some advancements in that technology platform and maybe some timelines in terms of can you generate your size down, battery life and what can be improved there and when should we see kind of generation 2.0? Thanks a lot.

Sure. Thanks for the question. We can always improve on our platforms and right now with S-ICD what we are really focused on excellent training and excellent outcomes to carve out what we think will be a significant category. And for a physician today the S-ICD is the fitness device and a long lasting battery for subcutaneous ICDs. And so we think it's uniquely positioned today. And if they want a lead solution we have many of those a new platform that we are just launching. So we think it's uniquely differentiated in its existing platform, we think we have a generation ahead lead in terms of the competition and we will continue to work on new features and capabilities as we look at generation 2.0 and we will certainly give more color on generation 2.0 as we get through 2014. But right now our focus really is on training and delivering excellent outcomes for a very differentiated device in its current generation.

Our next question comes from the line of Larry Biegelsen with Wells Fargo. Please go ahead.

Good morning and thanks for fitting me in. Guys I have couple of housekeeping items. For the R&D tax credit Dan, it's not in the guidance, so that's worth roughly 200 basis points or $0.02 I just wanted to confirm that. And then there were two, I think less selling days in the first quarter of last year. Is there a difference in the day count in the first quarter of this year or any quarter in 2014 that you would call out in? And then just lastly on the Japan cut, there were some significant cuts in 2012. What are you guys expecting this year kind of overall the high single-digit, mid to high single-digit for the company and anything that you would call out on the FAP cuts for '14 and then I will drop. Thanks.

Great, Larry. So this Dan, I can probably take those pretty quickly. So the tax, yeah you are correct. So we've not assumed the R&D tax credit in 2014 because it has not yet been enacted. So and that's worth about two points. So I think you are correct there. So if that were to get enacted that's a two point benefit for us. On days, there should be no change in days for us relative to Q1 or the full year. And then relative to the Japan price cuts which was your third question. We don't really know that hasn't been released yet, obviously so we don't know the specifics of that. But that will certainly be a headwind of growth for Japan and for the company in total depending on where that number comes in. But really don't have a sense yet as to what that will be and we will be obviously more forthcoming once the Japanese government finalizes those numbers.

Thanks for taking the questions.

Great.

Roxanne we have time we will take two more please.

The next question is from Matthew Dodds with Citigroup. Please go ahead.

Hey good morning. I just had a follow up on the last question that Larry asked for the Japan price cuts you have modeled in price cut before changes, you are waiting for the final number, right?

Yeah Matt we certainly have modeled that in and we have all of our assumptions on share and volume and the whole bit. And so in Japan certainly it will be a more of a headwind for us in ’14. We think it will be offset by some volume benefit in the first and second half of the year. As we look at overall mix globally of DES pricing we got kind of call in the negative mid-single digit range and hope that will be offset with our mix strategy that we have in Europe and the new launch with PREMIER in the US. So we think globally it will be a slight headwind but we will make couple over the volume with some of our new portfolio.

And then just quickly MedSurg didn't get a lot of attention today, endoscopy and urology women’s health is there any reason to assume that the growth rates would deviate a lot from this year and you are not giving guidance but is there anything particular that might change what’s been going on in the last couple of quarters?

No, we feel very strong and thanks for asking about that, medical surgical represents now 45% of our business mix and growing. We continue to improve its operating income margins. All three of those businesses and the women’s health urology and endoscopy are growing faster than market. We have new refreshed pipeline that we’ll launch in ’14. They are expanding internationally and so we don't anticipate any slowdown in the performance of our women’s health urology and endoscopy business.

Thanks Mike.

Our last question comes from the line of Bruce Nudell with Credit Suisse. Please go ahead. Bruce Nudell – Credit Suisse: Good morning. Thanks for taking the question. Just looking at your guidance for ’14 you know 4% constant currency middle of range, 20% operating margin and tax at 15% at the high end of the range, that gets you to kind of the high end of EPS guidance. Should we be thinking about or how should we think about things if things go better than that with tax at the low end and you know maybe revenue at the higher end? Should we be thinking about reinvestment or upside to numbers?

Bruce this is Dan. Good question. I think if you look at the numbers we gave relative to the midpoint of all that it should actually come to the middle of our range which would be albeit not a round number but about $0.775. So I think the math would get you there you can kind of take a tax rate of 14%, you take 4% revenue growth all the way down take the middle of those and you should get kind of that $0.775. I think what we’ll do relative to if we saw upside in businesses would be to try and book some of that upside and get a head start on the 25%.

Yeah I think we’re very comfortable and quite frankly we want our SG&A to go down. The fourth quarter SG&A is high, and we have a focus on improving operating income margins of the company and so if we are fortunate to have some additional room we want to sharpen the SG&A and operating income margin performance for company. Bruce Nudell – Credit Suisse: Perfect and as you could judge by the questions on the call the S-ICD is an area of extreme focus but just thinking about it more generally and more in the midterm I think most street models have a S-ICD at least 5% unit share and given the ASP that has and the fact that a lot of it’s not cannibalizing your business that has important share connotations as we go forward. Could you just like kind of express your overall goals in terms of ICD share on a global basis you know in the context of the S-ICD and CRT-D launches?

Yeah I guess we’ve probably not given color on that area. You know we think that would kind of back to the regional question, we really we do believe that will be a share taker in the ICD market in 2014 with this launch with the S-ICD being broadly available as well as the current capabilities of our existing line, with this battery longevity and leave your liability and remote patient monitoring. So we believe we’ll take share particularly in de novo ICD. CRT-D will continue to suffer in the U.S. until we launch our quad core program. Bruce Nudell – Credit Suisse: Thanks so much.

Thanks Bruce. With that we would like to conclude the call. Thanks very much for joining us today. We appreciate your interest in Boston Scientific. Before you disconnect Roxanne could you please give the pertinent details for the replay?

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