Industrial Market, Strategic Industries Railway & Off-highway Business Unit

1. Industrial Market, Strategic Industries Railway & Off-highway Business Unit

2. Speaker 25 minRakesh MakhijaPresident Strategic Industries 15 min Rutger Barrdahl DirectorRailway and Off-highway 15 min Ole K Jødahl Director Industrial Drives 5 min Key business message & Summary 15 min Q&A CMD 2013

3. Overview Off-highway Railway • Provider of innovative, sustainable solutions to the mobile industrial machinery market • Design partner of the global technology and market leaders • Creating value over machine lifecycle through industry expertise • Leader in wheelset bearings, axleboxes and drive system bearings to the global railway industry • Industry leading in railway services, sensorization and condition-based maintenance • SKF offers global railway operations maximized performance, safety and minimized lifecycle cost CMD 2013

4. Agricultural challenges • Mud, dust and debris • Rain and runoff • Corrosive chemicals • Precision farming • Long periods of inactivity followed by intense work schedules Meeting the growing challenges… • Rising fuel costs • New regulations on reducing harmful emissions and noise • Protecting the health and safety of workers …of modern farming… • Designed for reality • Lab and real life tested solutions • Solutions for virtually any agriculture machine and application …with SKF Agri Solutions CMD 2013

5. CAHB Actuators Agri Hub AH1 Agri Hub AH2 Lub Systems Agri Hub AH3 Y Bearings Agri range Steering Units Mud Block Seals SKF Agri solutions The agriculture business is expected to grow at an annual rate of 6% CMD 2013

6. SKF Agri Hubs - Relubrication-free, cost-effective, integrated Customer value and benefits Relubrication-free, cost-effective, integrated • For OEMs • A cost-effective solution • Higher product quality and reliability • Stronger market image • Supports sustainability efforts • For end users • Avoid soil erosion • Increased farm productivity • Relubrication-free • Reduced environmental impact • Easy to install/replace • Reduce maintenance and ownership cost CMD 2013

7. Construction and mining machinerychallenges • Multi-purpose machines • Tough environmental conditions • Productivity increase • Smart resources exploitation • New markets adaptation Meeting the growing challenges… • Fuel efficiency • Stringent emission regulations • Owning & operating cost reduction • Operator safety & comfort …of OEMs and Users … • Application optimized design • Friction optimization • Contamination resistant • Reduced maintenance • Increased reliability …with SKF Solutions providing ... CMD 2013

8. SKF solutions for demanding Construction Machinery Applications CMD 2013

9. Hydraulic cylinders seals Guide ring Wiper seal Rod seal Piston seal Buffer seal CMD 2013

10. Railway challenges • Liberalization of railway operations • Urbanization will increase global demand • Requirements on local production and support • Aging fleet especially in emerging markets. Meeting the growing challenges… • High safety requirement • Increased maintenance intervals • Bearing life prediction …of OEMs and Users … • Reliability in operations • Life cycle management • Increasedperformance …with SKF Solutions providing ... CMD 2013

11. SKF solutions for railways CONDITION MONITORING • Axletronic systems • Sensors • IMxR monitoring system • Multilog • BEARING DESIGN & CONSULTANCY • Training • Bearing refurbishing • Bearing investigation • Bearing exchange • Bearing re-lubrication • Bearing Condition Monitoring • OTHER RAILWAY SERVICES • Axlebox overhaul • Suspension Tubes overhaul • Drive system bearings overhaul OTHER APPLICATIONS • Wheel flange lubrication systems BOGIE • Axleboxes • Axlebearings • Axletronic • Slewing bearings • Suspension tubes OTHER APPLICATIONS DRIVE SYSTEMS • Articulation joints • Gearbox bearings • Motor bearings • AMPEP – High performance plain bearing CMD 2013

12. Railway Service operations in SKF Luton Pinerolo Tver Nankou Perth Melbourne Bogotá Gothenburg CMD 2013

13. Low Friction Seal - I Improving bearing performance to achieve longer maintenance intervals  Improved Grease Retention Better Grease Maintenance interval Low Friction Seal - II New Heat Treatment High Performance Cage Low Friction Bearing Reduced Fretting Corrosion Selective Surface Treatment 1.2 Million km SKF Insight™ 2011 2012 2013 2014 2015 CMD 2013

14. Smart end cap for freight cars Two variants for railway industry Integrated in bearing for passenger applications CMD 2013

15. SKF Insight™ - Extending maintenance intervals and hence reducing operator cost SKF Insight™ Good ConventionalSensors Listen & Feel Condition !Temperature Worse Time Operational Life CMD 2013

16. Sweden North America Spain China Portugal South Korea Turkey Italy Rail Condition Monitoring Overview Currently, our condition monitoring products are used or installed in 27 railway projects around the world. France Germany Poland India Brazil Australia CMD 2013

17. Recognised by leading industry players Best Technology supplier award from Siemens Large Drives for Railway SKF wins AGCO Fendt supplier award for innovation in Agri market CMD 2013

18. Key business message – Railway and Off-highway • The Agri and Railway industry will continue to grow in the coming years. Construction and mining remain uncertain in the short term. • SKF is well positioned to grow with our global presence, both in our manufacturing footprint as well as our local sales presence. • Our new offers are in the forefront with the technical trends and demands from the market. CMD 2013