Welcome

1. Welcome

2. $12 Billion Sales 8 Product Groups 53 Countries 122 Divisions 250 Plants worldwide 2,750 Product Lines 1,200 Markets 12,000 Distributors 62,000 Employees 120,000 Products 625,000 Customers Parker Hannifin Today Headquarters - Cleveland, Ohio

3. Parker’s Product Groups Are Built Around Customer’s Needs Hydraulics Automation Climate & Industrial Controls • Customers Need: • Global service • Single-source supply • Systems capability • Customization Seal Instrumentation Aerospace Fluid Connectors Filtration

4. Parker Automation Group Pneumatic & Electromechanical Technologies

5. Group Structure • 6 Core Divisions • 4 Shared Divisions • 2 Joint Venture Divisions • 40 Manufacturing Locations • 70 Sales Offices • 3300 Employees

6. Electromechanical NA Premier Service Quality Assurance Lean Manufacturing Empowered Employees Innovative Design

7. Electromechanical NA - Division of Acquisitions

8. Locations

9. Compumotor – Rohnert Park, Ca. • Division headquarters • All electronics manufacturing • Steppers – E, IE,Zeta, VIX • Servo drives - Aries • Controls – ACR(Acroloop) • HMI – InteractX, PA • Trilogy Linear Motors • Leader in Linear Motors • #1 Brand in North America • Ironless, iron core • ISO Certified • ROHS

10. Linear positioning components and systems Ballscrew – XR, HD, Promech Belt - HPLA Linear Motor – LXR, MX80 Linear Motors – Trilogy Positioners Custom Systems System supplier – combine all the divisions products ISO Certified Daedal – Irwin, Pa.

11. Rotary Servo Motors MPP 70mm – 230mm SM, BE – NEMA 16-34 Frameless Motors 70% of motors are custom ISO certified Lean Lead-time reduction Vertical integration Shafts Milling MTS Automation – New Ulm, Mn

12. Products Gearheads – PV, Stealth Gearmotors Engineered Systems ISO Certified Vertically integrated Bayside - Port Washington, NY

13. Business Overview

14. EMN Mission • Parker will provide bundled electromechanical automation solutions to OEM and end user machine builders worldwide. We will do this by: • Leveraging the mechanical product lines. • Customization capabilities. • Focusing on our target market requirements. • Providing superior customer service.

15. Operator Interface Motion Control Belt & Screw Tables &Actuators Step & Servo Drives Planetary Gearheads Rotary & Linear Motors Automation System Solutions • Parker offers complete systems for machine control: • HMI • Motion Control • Stepper Drives & Motors • Servo Drives & Motors • Direct Drive Motors • Planetary Gearheads • Actuators • Linear motors • Structure

16. Customer Base • 3800 active customers • 342 different SIC codes • OEMs & End Users • High Tech • Semi-conductor/Electronics Manufacturing • Disk media and computer peripherals • Life Sciences, Medical • Mobile • Industrial • Packaging/wrapping machinery • Specialty machinery

17. Operational Excellence Lean Enterprise Quote to shipping Lead-times Major area of focus Product line plans On – time delivery Each location > 93% Goal is 95% Custom Capabilities Added resources in each location in the past year Ongoing process improvements to improve speed and accuracy Ongoing consolidation efforts to make it easier to do business with us Compete on a Service Model

18. Employee involvement Cross training Flex staffing Assembly Products logically grouped into organized cells Tools, hardware, fixtures Work procedures Materials Kanban system driven Simple/visible systems Long term supplier agreements Single source of supply Quality Extensive process documentation Automated test systems Halt/Haas testing Lean

19. Cellular manufacturing Build to customer order One by one manufacturing Average lead-time < 4 days on electronics Transactions eliminated – virtually paperless Continuous improvement Build to Order

20. Order received over the internet and is fed directly to work cells build report. No standard lead-times. Capacity based lead-times are decremented as orders received. Customers can see entire process via the internet. Order fulfillment

21. Thank You